(3 points) When sold for $259,000.00, Ferraris have an annual supply of 6758 vehicles and an annual demand of 6691 vehicles.When their price increases to $279,000.00, the annual supply increases to 6913, and the demand decreases to 6010 billion gallons.(a) Assuming that the supply and demand equations are linear, Afind the supply and demand equations.Supply Equation p =Demand Equationp(Note: The equations should be in the form p = mg + b where p denotes the price (in dollars) and q denotes the quantity. The slopeand y-intercept should be accurate to two decimal places).(b) Find the Equilibrium price and quantity.Equilibrium price p =Equilibrium quantity q =(Note: The equilibrium price and quantity should be accurate to two decimal places, and the equilibrium price should include a dollarsign).

The demand function shows the units of commodity that the consumers desire to purchase at the market…

(3 points) When sold for $259,000.00, Ferraris have an annual supply of 6758 vehicles and an annual demand of 6691 vehicles. When their price increases to $279,000.00, the annual supply increases to 6913, and the demand decreases to 6010 billion gallons. (a) Assuming that the supply and demand equations are linear, find the supply and demand equations. Supply Equation p= Demand Equation p = mg + b where p denotes the price (in dollars) and q denotes the quantity. The slope (Note: The equations should be in the form p and y-intercept should be accurate to two decimal places). %3D (b) Find the Equilibrium price and quantity. Equilibrium price p = Equilibrium quantity q= (Note: The equilibrium price and quantity should be accurate to two decimal places, and the equilibrium price should include a dollar sign).

(3 points) When sold for $259,000.00, Ferraris have an annual supply of 6758 vehicles and an annual demand of 6691 vehicles. When their price increases to $279,000.00, the annual supply increases to 6913, and the demand decreases to 6010 billion gallons. (a) Assuming that the supply and demand equations are linear, find the supply and demand equations. Supply Equation p= Demand Equation p = mg + b where p denotes the price (in dollars) and q denotes the quantity. The slope (Note: The equations should be in the form p and y-intercept should be accurate to two decimal places). %3D (b) Find the Equilibrium price and quantity. Equilibrium price p = Equilibrium quantity q= (Note: The equilibrium price and quantity should be accurate to two decimal places, and the equilibrium price should include a dollar sign).

Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)

14th Edition

ISBN:9781305506381

Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Chapter14A: The Practice Of Revenue Management

Section: Chapter Questions

Problem 1E

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