The demand equation for a certain brand of GPS Navigator is x + 3p - 565 = 0, where x is the quantity demanded per week and p is the wholesale unit price in dollars. The supply equation is x - 16p + 480 = 0, where x is the quantity the supplier will make available in the market when the wholesale price is p dollars each. Find the equilibrium quantity and the equilibrium price for the GPS Navigators.
A) equilibrium quantity 2,000 units; equilibrium price $55
B) equilibrium quantity 400 units; equilibrium price $55
C) equilibrium quantity 2,000 units; equilibrium price $40
D) equilibrium quantity 400 units; equilibrium price $40

Question

Quizplus · Accepted Answer

The Answer of The demand equation for a certain brand of GPS Navigator is x + 3p - 565 = 0, where x is the quantity demanded per week and p is the wholesale unit price in dollars. The supply equation is x - 16p + 480 = 0, where x is the quantity the supplier will make available in the market when the wholesale price is p dollars each. Find the equilibrium quantity and the equilibrium price for the GPS Navigators.
A) equilibrium quantity 2,000 units; equilibrium price $55
B) equilibrium quantity 400 units; equilibrium price $55
C) equilibrium quantity 2,000 units; equilibrium price $40
D) equilibrium quantity 400 units; equilibrium price $40

The Demand Equation for a Certain Brand of GPS Navigator