At a price of rs 10 per unit the supply of a commodity is 300 units . its elasticity of supply is 1.5 . its price increases by 20% . calculate its supply at the increased price

P(initial price)=rs10

QS(initial quantity supplied)=300units

ES=1.5

change in price=20%of 10

=rs 2

let the quantity supplied at increased price be X

then,

ES=change in quantity supplied * P

change in price Q

1.5 =X-300 *10

2 300

1.5=X-300

60

90=X-300

ANS- X=390 units