The demand for a 12-ounce bottle of sparkling water is given in the table.Demand Schedule for Sparkling Water in12-ounce BottlesPrice(dollars per bottle)2.292.693.093.493.894.29Demand(million bottles)2593210.5(a) Write the function for the exponential model that gives demand in million bottles, as a function of price per bottle p, with data from 2.29 ≤ p ≤ 4.29. (Round all numerical values to two decimal places. Be sure you use the correctinput variable p.)D(p) =Does the model indicate a price above which consumers will purchase no bottles of water?The model is exponential and ---Select--- ✓the horizontal axis. Therefore there is ---Select--- above which consumers will not purchase water.(b) What quantity of water will consumers purchase when the market price is $3.87? (Round your answer to two decimal places.)million bottles(c) Calculate the amount that consumers willing and able to spend to purchase the quantity found in part (b). (Round your answer to one decimal place.)million(d) Calculate consumer surplus when the market price is $3.87. (Round your answer to two decimal places.)million

We will use Exponential Regression to find the demand function.Demand Function D(p) will be of the…

(a) Write the function for the exponential model that gives demand in million bottles, as a function of price per bottle p, with data from 2.29 s p ≤ 4.29. (Round all numerical values to two decimal places. Be sure you use the correct input variable p.) D(p) = Does the model indicate a price above which consumers will purchase no bottles of water? The model exponential and ---Select--- ✓the horizontal axis. Therefore there is ---Select--above which consumers will not purchase water. (b) What quantity of water will consumers purchase when the market price is $3.87? (Round your answer to two decimal places.) million bottles (c) Calculate the amount that consumers willing and able to spend to purchase the quantity found in part (b). (Round your answer to one decimal place.) $ million (d) Calculate consumer surplus when the market price is $3.87. (Round your answer to two decimal places.) $ million

(a) Write the function for the exponential model that gives demand in million bottles, as a function of price per bottle p, with data from 2.29 s p ≤ 4.29. (Round all numerical values to two decimal places. Be sure you use the correct input variable p.) D(p) = Does the model indicate a price above which consumers will purchase no bottles of water? The model exponential and ---Select--- ✓the horizontal axis. Therefore there is ---Select--above which consumers will not purchase water. (b) What quantity of water will consumers purchase when the market price is $3.87? (Round your answer to two decimal places.) million bottles (c) Calculate the amount that consumers willing and able to spend to purchase the quantity found in part (b). (Round your answer to one decimal place.) $ million (d) Calculate consumer surplus when the market price is $3.87. (Round your answer to two decimal places.) $ million

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

Chapter4: Estimating Demand

Section: Chapter Questions

Problem 5E

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