After a careful statistical analysis, the Chidester Company concludes the demand function for its product isQ = 500 - 3P + 2Pr + 0.1Iwhere Q is the quantity demanded of its product, P is the price of its product, Pr is the price of its rival’s product, and I is per capita disposable income (in dollars). At present, P = $10, Pr = $20, and I = $6,000.What is the current output level Q? a.1030 b.1100 c.610 d.1110

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Asked Sep 4, 2019
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After a careful statistical analysis, the Chidester Company concludes the demand function for its product is

= 500 - 3+ 2Pr + 0.1I

where is the quantity demanded of its product, is the price of its product, Pr is the price of its rival’s product, and is per capita disposable income (in dollars). At present, = $10, Pr = $20, and = $6,000.


What is the current output level Q?

  a.

1030

  b.

1100

  c.

610

  d.

1110

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