What are the profit-maximizing prices for the two goods? 1). Px = $375, Py = $284 2). Px = $423, Py = $712 3). Px = $166, Py = 324 4). Px = 481, Py = 588 [ i will upvotes 5]
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- Suppose that the inverse demand for eggs is P = 12 -0.010d, and the inverse supply of eggs is P = 2 +0.01Q5, where Q = million eggs and P= USD/egg. The market-clearing price is equal to ________(USD/egg), and the market clearing quantity is equal to (m eggs). O 7,500 6,400 O 0.5, 250 O4, 200Consumers' Surplus The demand function for a certain brand of CD is given by p = -0.01x? - 0.1x + 19 where p is the wholesale unit price in dollars and x is the quantity demanded each week, measured in units of a thousand. Determine the consumers' surplus (in dollars) if the market price is set at $7/disc. (Round your answer to two decimal places.) $ 225 The units in the original equation are in thousands. Need Help? Read It Master It Submit AnswerTitle The demand function for bicycles in Holland has been estimated to be Q = 2,000 + 15Y – 5.5P... Description The demand function for bicycles in Holland has been estimated to be Q = 2,000 + 15Y – 5.5P where Y in income in thousands of euros, Q is the quantity demanded in units, and P is the price per unit. When P = 150 euros and Y = 15(000) euros, determine the following: a.Price elasticity of demandb.Income elasticity of demand
- You are provided of the following demand function: Qxd 10,000 - %3D 4PX + 5PY + 2M + Al where PX is the price of X, PY is the price of good Y, M is income, and Al is the amount of advertising on X. Suppose the present price of good X is $50, PY = $100, M = $25,000, and Al = 1,000 units. What is the quantity demanded %3D of good X? *Gr8 Ideaz Inc. has determined that the demand function for their heated socks is given by: 5 7P². a. Find E(p), the Elasticity of Demand as a function of price, p. E(p) = b. Find the Elasticity of Demand when heated socks are selling at a price of $10. Give result accurate to at least 3 decimal places. E(10) = c. At this price ($10): We would say the demand for heated socks is: Select an answer Based on this, in order to increase revenue we should: Select an answer d. Use the Elasticity model to determine the price that maximizes revenue. (Round result to 2 decimal places.) D(p) = = 345- p=The table below shows two demand schedules for a given style of men’s shoes—that is, how many pairs per month will be demanded at various prices at a men’s clothing store in Winnipeg called Stromnord. Price D1QuantityDemanded D2QuantityDemanded $85 53 13 80 60 15 75 68 18 70 77 22 65 87 27 Suppose that Stromnord has exactly 55 pairs of this style of shoe in inventory at the start of the month of July and will not receive any more pairs of this style until at least August 1. a. If demand is D1, what is the lowest price that Stromnord can charge so that it will not run out of this model of shoe in the month of July? What if demand is D2? If demand is D1, the lowest price Stromnord can charge is $ .If demand is D2, the lowest price Stromnord can charge is $ . b. If the price of shoes is set at $85 for both July and August and demand will be D2 in July and D1 in August, how many pairs of shoes should Stromnord order for August if it wants to end the month of August…
- A1). The price, p, that a bookstore charges for a special gift edition of a popular trilogy is related to the demand, q, by the equation 100pq + q? = 5,000,000. Suppose the price is currently set at $40. (a). At what rate is the demand currently changing with respect to this price? (Include units) (b). At what rate is the revenue currently changing with respect to this price? (Hint: use the chain rule). (Include units). (c). Suppose the demand is currently increasing at a rate of 50 copies per month. How fast is the price currently changing per month? (again, assume the price is currently $40).Include units.QUESTION 9 A perfectiy inelastic demand schedule: O cannot be shown on a two-dimensional graph. O can be represented by a line parallel to the horizontal axis. O rises upward and to the right, but has a constant slope. can be represented by a line parallel to the vertical axis. QUESTION 10 The price of product X is reduced from $100 to $80 and, as a result, the quantity demanded increases from 50 to 00 units. Therefore demand for X in this price range: O has declined. is of unit elasticity. O is inelastic. O is elastic10/variants/969445/take/13/ The minimum wage jumps from the current $7.25/hour to $15.00/hour. This has the effect of causing a shift in demand for restaurant dinners. Eventually, a large number of entre- preneurs see this demand and enter the restaurant business, creating a shift in supply. Using the graph outlines provided below, mark label the following: 1. Initial demand (D1), initial supply (S1) and initial equilibrium (E1). 2. The shift in demand (D2) and corresponding new equilibrium (E2). 3. The shift in supply (S2) and the corresponding new equilibrium (E3). Use arrows to show the direction of the supply and demand curve shifts from D1 to D2, and from $1 to $2. ہیں D 00000 + T THIN Price of Dinners BLACK – Supply and Demand for Restaurant Dinners X Quantity Demanded
- 5. The price p (in pesos) and demand x for kimchi orders in a month are related by (x - 800)2 – 1,530(p+ 20) = 0. If the current price of P150 is increasing at a rate of P10 per month, and the number of kimchi orders exceed 1,000, find the rate of change of the demand for kimchi orders.1. The graph below illustrates the inverse demand functions (demand curves) D1 and D2 for which the demand functions are: Q1 = 120.5P₁ (D1) and Q2 = 30-5P₂ (D2). P 24 20 16 12 8 6 4 2 D1 2 4 6 8 10 12 14 16 18 20 22 24 26 28 30 Q a) Given the current price for P= $4, compute the point elasticity of demand for D1 and D2 and state demand is elastic, unit elastic, or inelastic at this price? b) Given your computations in part a, how much would the quantity demanded change (as a percent) for each demand curve if the prices increased by 20%? c) If the current price is $4 per unit in both markets, and the firm wants to maximize revenue, what price should they be charging in each market? (Motivate)Assume that the demand curve is a straight line. If the price per unit of a good rises from $2.40 to X1, it is expected that monthly demand will fall from X2 units to 200,000 units. Give your own appropriate X1 and X2. What is the point price elasticity of demand when the price is $2.40? What is the arc price elasticity of demand over these ranges of price and output? Is the demand for this good price sensitive?