Question

Use the following two equations to answer the questions below. (1) P = 12-20 (2) P = 3+Q Instructions: Round your answers to the nearest whole number. The equilibrium price is $( and the equilibrium quantity is Graph the supply and demand curves for these equations.. Instructions: Use the "Supply" and "Demand" tools to plot the end points of the supply and demand curves. Determine the line end points at a quantity of 6. Plot the equilibrium point (EQ), Demand Price ($) Supply

Answer 1

P = 12 - 2Q (Demand equation)

P = 3 + Q (Supply curve)

At equilibrium point, demand = supply.

12 - 2Q = 3 + Q

12 - 3 = Q + 2Q

9 = 3Q

Q = 9 / 3

Q = 3 (Equilibrium quantity)

and, P = 3 + Q

P = 3 + 3

P = 6 (Equilibrium price)

The equilibrium price is $6 and the equilibrium quantity is 3