1. State the general formula for finding a population variance and standard deviation. What do these values indicate? Find the population variance and standard deviation for the following population values: 80, 90, 100 and 130. Note: on an actual exam no calculators will be allowed.
2. State the formula for the price elasticity of demand. Discuss the three values the price elasticity of demand can assume and the consequences of a price change on total revenue for each case. In the course of your response, develop a numerical presentation to illustrate your argument.
3. Discuss the effect of an income change on consumer demand. Develop an indifference curve-budget line presentation to illustrate the impact of an income change.