Solved

Lawn King Sells a Push Mower at Price P1 and a Ride-On

Question 86

Essay

Lawn King sells a push mower at price p1 and a ride-on mower at price p2.The demand function for each mower is a linear function of p1 and p2.Market research shows that if the price of the push mower is increased by $40, then the demand for it drops by 6400 units, while the demand for the ride-on mower increases by 1200 units.On the other hand, if the price of the ride-on mower is decreased by $60, then demand for it increases by 3000 units, while demand for the push mower drops by 9000 units.Currently, the company is selling 142,000 push mowers at a price of $300 and 19,000 ride-on mowers at a price of $1200.Find the two demand functions.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents