Two points (p, q) on a linear supply function are ($2.55, 98,000) and ($6, 195,500).
1 answer:
Answer:
- q ≈ 28270p +25935
- $4.21 will give a supply of 145,000
- slope is the supply increase per dollar of price
- p-intercept is about -$0.92
- a graph is attached
Step-by-step explanation:
The two-point form of the equation of a line is useful for this.
y = (y2 -y1)/(x2 -x1)(x -x1) +y1
q = (195500 -98000)/(6.00 -2.55)(p -2.55) +98000
q = 97500/3.45(p -2.55) +98000
q ≈ 28269.9p +25934.8
__
For a supply of 145000, the price would need to be ...
145000 = 28269.9p +25934.8
119065 = 28270p
119065/28270 = p = 4.21
A price of $4.21 will result in a supply of $145,000.
__
The slope is the additional amount supplied for each dollar increase in price.
__
The price value that results in a supply of zero is ...
0 = 28270p +25935
-25935 = 28270p
-25935/28270 = p ≈ -0.92
The p-intercept is about -$0.92.
You might be interested in
First, we should apply the present value of annuity formula. It is 
and in this formula 
is the present value of annuity factor.
Then, we can find the present value of the annuity by writing that,
<span>
</span>
Then, we can find the present value of the annuity by writing that,
</span>