Find the equilibrium price and quantity for the supply and demand equations.
d(p)=11,400−8p
s(p)=2p
The equilibrium price is at $ ___________ and at a quantity of_____ units.
To find the equilibrium price and quantity, we need to set the demand equal to the supply.
The demand equation is:
d(p) = 11,400 - 8p
The supply equation is:
s(p) = 2p
Setting the demand equal to the supply:
11,400 - 8p = 2p
Next, we solve the equation for p by isolating the variable p:
11,400 = 2p + 8p
11,400 = 10p
p = 11,400 / 10
p = 1,140
So, the equilibrium price is $1,140.
To find the equilibrium quantity, we substitute the equilibrium price (p = 1,140) into either the demand or supply equation. In this case, we'll use the supply equation:
s(p) = 2p
s(1,140) = 2 * 1,140
s(1,140) = 2,280
Therefore, the equilibrium quantity is 2,280 units.
In summary, the equilibrium price is $1,140, and the equilibrium quantity is 2,280 units.