Question

The demand and supply curves for a band of coffee are given by the equations: P=50-2d, where p is price in dollars, and d is demand; 16p-13s=80, where p is the price in dollars and s is the supply.

Graph the supply-demand curves on the same axis and find the equilibrium point(quantity, price).

Answer 1

(quantity, price) = (16, 18)

Explanation:

You want the point of intersection of the supply and demand curves ...

• p = 50 -2d
• 16p -13s = 80

when they are plotted on the same axes.

Supply and Demand graphs

The ordered pair (quantity, price) tells you that price is on the vertical axis of the graph. Supply and demand quantities are represented by the value of x when these curves are plotted in (x, y) coordinates.

The graph is attached. The equilibrium point (supply = demand) is where the two lines meet, at (quantity, price) = (16, 18).