A company currently sells a product for $60 and at this price, demand is 20,000 units per month. It has been estimated that for every $2 increase or reduction in the price, monthly demand will fall or increase by 1,000 units. What is the formula for the demand curve for this product?
【参考答案及解析】
100 – 0.002Q Price at which demand is 0 = $60 + (20,000/1,000) × $2= $100 When P = a – bQ, b = 2/1,000 = 0.002
100 – 0.002Q Price at which demand is 0 = $60 + (20,000/1,000) × $2= $100 When P = a – bQ, b = 2/1,000 = 0.002