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Question about Annual Demand and Supply
Annual demand and supply for the Entronics company is given by: Qd= 5,000 +0.5I+0.2A-100P and Qs=-5000=100P where Q is the quantity per year, P is price, I is income per household, and A is advertising
if A= 10,000 and I = 25,000
a. What is the demand curve
b. Given the demand curve in part a, what is the equilibrium price and quantity.
c. If consumer income increases to 30,000 what will be the impact on equilibrium price and quantity
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