How Do You Determine the Supply Equation Given Market Conditions?

[wmosley]

For a certain commodity, the demand equation is given by D= -5p + 5=. At a price of $1, twelve units of the commodity are supplied. If the supply equation is linear and the market price is $4, find the supply equation.

Answer:

For this one I have come up with a formula of:

s= ap+b where p if the varialbe, price, and a,b are constants

s is supply.

I think I have to find a and b but amd not sure.

Can someone help me with figure this one out...

 

[CRGreathouse]

For a certain commodity, the demand equation is given by D= -5p + 5=. At a price of $1, twelve units of the commodity are supplied. If the supply equation is linear and the market price is $4, find the supply equation.

First you'll need to find out the amount supplied at the market price. Market price is when supply equals demand.

Do you have the equation correct? If D = -5p + 5 and the market price is $4, then you're working in negatives... Did you mean -5p + 50?

 

[Alkatran]

Oh great, he found his way here, too.

He's already posted half his homework here

So don't bother answering.