The following equations represent the demand and supply for bird feeders. Q_D = 35 - P Q_S = -5 + 3P What is the equilibrium price (P)and quantity (Q - in thousands)of bird feeders? A)P = $10; Q = 25 thousand B)P = $35; Q = 20 thousand C)P = $20; Q = 20 thousand D)P = $5; Q = 30 thousand

Question

Quizplus · Accepted Answer

To find the equilibrium price and quantity, set the demand equation equal to the supply equation: 35 - P = -5 + 3P. Solving this gives P = $10. Substituting P = $10 into either equation gives Q = 25 thousand.

The Following Equations Represent the Demand and Supply for Bird