The following price and demand combinations have been given: P1 = 400, Q1 = 5,000 P2 = 380, Q2 = 5,500 The variable cost is a constant $80 per unit and fixed costs are $600,000 pa. What is the demand function?
A、P = 200 – 0.04Q
B、P = 600 – 0.04Q
C、P = 600 + 0.04Q
D、P = 200 – 20Q
A、P = 200 – 0.04Q
B、P = 600 – 0.04Q
C、P = 600 + 0.04Q
D、P = 200 – 20Q
【参考答案及解析】
The demand formula is P = a + bQ, with b = change of price/change of demand quantity b = –20/500 = –0.04 By substitution: 400 = a –0.04 (5,000) 400 = a – 200 a = 600 Hence: P = 600 – 0.04Q
The demand formula is P = a + bQ, with b = change of price/change of demand quantity b = –20/500 = –0.04 By substitution: 400 = a –0.04 (5,000) 400 = a – 200 a = 600 Hence: P = 600 – 0.04Q