Suppose that the supply of apples can be represented by the following equation: Q^s = 2P + 500. Further suppose that the demand for apples can be represented by the following equation: Q^d = 900 - 3P. Which of the following is the equilibrium price in the market for apples? A) 10 B) 50 C) 80 D) 100

Question

Quizplus · Accepted Answer

To find the equilibrium price, we need to set the supply equation equal to the demand equation and solve for P:

2P + 500 = 900 - 3P

5P = 400

P = 80

Therefore, the equilibrium price in the market for apples is $80 per unit.

Suppose That the Supply of Apples Can Be Represented by the Following