For the given supply and demand equations, find the consumer surplus. Round to the nearest dollar. Demand Supply
P = 170 - 0.00003x p = 140 + 0.00004x
A) $2,755,102
B) $3,030,612
C) $3,306,122
D) $4,132,653
E) $3,673,469

Question

Quizplus · Accepted Answer

Consumer surplus is the area below the demand curve and above the supply curve. To find the consumer surplus, we need to integrate the difference between the demand and supply curves from 0 to the equilibrium quantity.The equilibrium quantity is found by setting the demand and supply equations equal to each other and solving for x:170 - 0.00003x = 140 + 0.00004x0.00007x = 30x = 428,571The consumer surplus is then:∫[170 - 0.00003x - (140 + 0.00004x)]dx from 0 to 428,571= ∫[30 - 0.00007x]dx from 0 to 428,571= [30x - 0.000035x^2] from 0 to 428,571= $3,030,612Therefore, the consumer surplus is $3,030,612, which is choice A.

For the Given Supply and Demand Equations, Find the Consumer