Economics 19th Edition by Stanley Brue, Cambell McConnell, Campbell McConnell, Sean Masaki Flynn, Sean Flynn

Exercise 2

The table below shows two demand schedules for a given style of men's shoes-that is, how many pairs per month will be demanded at various prices at a men's clothing store in Seattle called Stromnord.

Suppose that Stromnord has exactly 65 pairs of this style of shoe in inventory at the start of the month of July and will not receive any more pairs of this style until at least August 1.If demand is D¹, what is theprice that Stromnord can charge so that it will not run out of this model of shoes in the month of July What if demand is D²
b.If the price of shoes is set at $75 for both July and August and demand will be D2 in July and D1 in August, how many pairs of shoes should Stromnord order if it wants to end the month of August with exactly zero pairs of shoes in its inventory What if the price is set at $55 for both months