I need to graph this question out to obtain further information to answer the rest of the question.
Free market. The equations S=5000+200x and D=9500-100x express the supply S and the
demand D, respectively, for a popular compact disc brand in terms of its price x (in dollars).
a) Graph the equations on the same coordinate system.
b) What happens to the supply as the price increases?
c) What happens to the demand as the price increases?
d) The price at which supply and demand are equal is called the equilibrium price. What is the equilibrium
price?
To find the graph, can I rewrite this in a slope-intercept form? For example, would I assume 'S' and 'D' really are 'y', then work the problem in a slope-intercept form from there?
Thank you in advance for your assistance.
Ok, maybe a little more help here, please.
I know that:
x = 15
I know the slope-intercept formula is y=mx+b
Using S=5000+200x, D=9500-100x I would assume these would represent x,y.
So, would I assume x=8000, y=8000 and graph them as 8000,8000? So then I would start the problem out as 8000=m(8000)+b?
Thank you very much for help on the graphing.
Using what you listed in post number 5, I worked the equilibrium out to be x=15. Wouldn't the answer to 'd)' be $15?
Good Question but almost 99% or even 100% of the supply and demand graphs have y=price and x=Qty of sold of a product. So no, it's not 15, it's 8000.
See Supply and demand - Wikipedia, the free encyclopedia for more info.