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At $0.60 per liter, the daily supply for octane is 450 liters and the daily demand is 570 liters. When the price is raised to $0.75 per liter, the daily supply increases to 600 liters and the daily demand decreases to 495 liters. Assume that the supply and demand equations are lincar.
(i) Find the supply equation.
(ii) Find the demand equation.
(iii) Find the equilibrium price and quantity.
(iv) Graph the two equations in the same coordinate system and identify the equilibrium point, supply curve, and demand curve.
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