Question

The price of a large pizza decreased from $22.00 to $18.00. As a result, the quantity demanded of skateboards increased from 330.00 to 350.00. 1st attempt Part 1(1 pt)See Hint Using the midpoint formula, what is the percentage change observed for the price of a large pizza? Give your answer to two decimal places.

Answer 1

-18.18%

Step-by-step explanation:

The percentage change is the ratio of the change in price divided by the initial price, it can be calculated by the formula below:

Percentage change =
`((Pn - Po))/(Po) * 100%`

Where Pn = New price

Po = Initial or old price

Pn = $18

Po = $22

Percentage change = {($18 - $22)/$22} * 100%

= {($18 - $22)/$22} * 100%

= {-$4/$22} * 100%

= -0.1818181818 * 100%

= -18.18181818%

= -18.18% (to two decimal places).

The negative figure means they are complementary goods, that is goods that are consumed together.