Calculate the total value of sales at each possible price for a product with the consumer demand shown.
Price: Quantity demanded:
$20. 8,500
$22.5. 7,800
$25. 6,200
$27.5. 5,900
$30. 4,300
To calculate the total value of sales at each possible price for the product, you need to multiply the price by the quantity demanded at that price. This will give you the total sales value for each price.
Let's go through the calculation for each price:
1. $20 price:
Total sales value = Price x Quantity demanded
= $20 x 8,500
= $170,000
2. $22.5 price:
Total sales value = Price x Quantity demanded
= $22.5 x 7,800
= $172,500
3. $25 price:
Total sales value = Price x Quantity demanded
= $25 x 6,200
= $155,000
4. $27.5 price:
Total sales value = Price x Quantity demanded
= $27.5 x 5,900
= $162,250
5. $30 price:
Total sales value = Price x Quantity demanded
= $30 x 4,300
= $129,000
So, the total value of sales at each possible price for the product are as follows:
$20 price: $170,000
$22.5 price: $172,500
$25 price: $155,000
$27.5 price: $162,250
$30 price: $129,000