Name: __________________________________ Date: _______________

Year and Section: ________________________ Score: ______________

Production Possibilities Frontier (PPF)

Worksheet 1

Direction: Show these data graphically and label the points. Also, identify the geometrical shape of the curve
and the type of opportunity cost.

1. Suppose a manufacturing firm is equipped to

produce radios or calculators. It has two plants,
Plant R and Plant S, at which it can produce these
goods. Given the labor and the capital available at
both plants, it can produce the combinations of
the two goods at the two plants shown. Draw the
production possibilities curve for Plant S.

Output per day (Plant S)

Combination Calculators Radios
A 50 0
B 25 50
C 0 100

2. In ancient days a tribe of natives on the

mythical continent of Atlantis was able to produce
two commodities to eat. They could harvest fish
from the sea, and they could grow a form of wild
oats. The table below both show the maximum
annual output combinations of fish and wild oats
that could be produced by the natives of Atlantis.

Maximum Kilograms of Bushel of wild

annual output fish oats
options
1 7,000 0
2 6,000 300
3 5,000 500
4 4,000 625
5 3,000 710
6 2,000 775
7 1,000 825
8 0 850

3. What is the opportunity cost of producing

cookies and cakes?
Combination Cookies Cakes
A 20 0
B 15 1
C 11 2
D 8 3
E 6 4
F 5 5
Name: __________________________________ Date: _______________
Year and Section: ________________________ Score: ______________

DEMAND CURVE
Worksheet 2
Direction: Use the data presented in the Demand Schedule for CDs to graph the demand curve in the chart
below.

Movement Along The Demand Curve

Direction: Using the data presented in the Demand Schedule for CDs, graph the demand curves of D1 and D2
in the chart below.

1 Q12

Name: __________________________________ Date: _______________

Year and Section: ________________________ Score: ______________

SUPPLY CURVE
Worksheet 3

Direction: Create a supply curve and label the points.

Supply Schedule of Vinegar

Price (₱) Quantity supplied
0 0
 20 1000
40 2000
60 3000
80 4000
100 5000
120 6000
140 7000
180 8000

Movement Along The Supply Curve

Direction: Using the data presented in the Supply Schedule for of hotdog and burger, graph the supply curves
of S1 and S2 in the chart below.

Supply Schedule of hotdog

Price ($) Old New

9
quantity quantity 8
supplied supplied
7
4 15 25
6
5 20 30
5
6 25 35 4
7 30 40 3
8 35 45 2
1
9 40 50
0
5 15 20 25 30 35 40 45

Supply Schedule of hotdog

Price ($) Old New
quantity quantity
supplied supplied
4 15 5
5 20 10

6 25 15
7 30 20
10
8 35 25

9 40 30

5
Name: __________________________________ Date: _______________
Year and Section: ________________________ Score: ______________

MARKET EQUILIBRIUM
Worksheet 4

I. Multiple Choice. Read the questions carefully and choose the letter of the correct answer.

1. In the market with sports shoes costing 20 €, there will be a _____.

A. surplus of 200 pairs
B. surplus of 100 pairs
C. shortage of 200 pairs
D. shortage of 300 pairs

2. At what price will there be a surplus of 200 pcs in the shoe market?
 A. 20 €
B. 35 €
C. 40 €
D. 50 €

3. What is the equilibrium price in this market?

A. 20 €
B. 35 €
C. 40 €
D. 50 €

4. What is the equilibrium quantity in this market?

A. 100 pairs
B. 200 pairs
C. 300 pairs
D. 400 pairs

II. Graph. Create a market equilibrium curve of Pizza

III. Mathematical equations. Solve the following:

a. What is the quantity demand if the demand function is Qd=300-10P wherein the price is at Php6?

b. What is the quantity supply if the supply function is Qs=-300+90P wherein the price is at Php9?

c. Problem: The fruit stand was selling 500 pineapples for $4.00 (QS=500+4P) every month but wants to
begin selling 900 pineapples for $3.00 every month (QD=900-3P). What will the equilibrium price and
quantity be?

Name: __________________________________ Date: _______________

Year and Section: ________________________ Score: ______________

PRICE ELASTICITY OF DEMAND AND SUPPLY

Worksheet 5

Directions: Calculate price elasticity of demand for each of the following.

Given:
P1=2
P2=3
Q1=25
Q2=15

Q2−Q¿ 1
% change∈quantity =
(Q ¿ ¿ 1+Q2 )/2 x 100¿

15−25
% change∈quantity = x 100
(25+15)/2
−10
% change∈quantity = x 100
20
% change∈quantity =50

P 2−P¿1
% change∈ price=
(P ¿ ¿ 1+ P 2)/2 x 100 ¿

3−2
% change∈ price= x 100
(2+3)/2

1
% change∈ price= x 100
2.5
% change∈ price=40

% change∈ quantity
Price elasticity demand=
% change∈ price

50
Price elasticity demand=
40

Price elasticity demand=1.25 relatively elastic