Help w/ Econ.?

Question

Charles loves Mello Yello and will spend $10 per week on the product no matter what the price. What is his elasticity of demand for Mello Yello?

Answer 1

So if the price is $10 his QD=1.  If the price is $5 his QD=2.  If the price is $3.33 his QD=3

So for the change of 10 to 5 his elasticity is 2-1/1.5 divided by 5+10/2=  .6666/7.5=.088888

SO for the change of 5 to 3.33 his elasticity is 3-2/1.5 divided by 3.33-5=-1.67/4.165=.40

=.2222

so it depends on the points on the demand curve.

Answer 2

Strange question ($10/wk no matter the price- sounds like an oxymoron).  Nevertheless:

His demand is inelastic (he still wants some no matter the cost).  but the amount he can acquire is elastic (how much mello yello can $10 buy him).