Question
a. Given that annual demand and supply for the E&E Electronics Company is given by: where Q is output, P is price per unit, M
a. Given that annual demand and supply for the E&E Electronics Company is given by:
where Q is output, P is price per unit, M is income, and PR the price of a related good.
The manager estimates the values of M and PR will be RM32,000 and RM4, respectively.
Determine the following functions:
i. Forecast demand function [2 Marks]
ii. Inverse demand function
[2 Marks]
iii. Average revenue function
[2 Marks]
iv. Marginal revenue function
[1 Mark]
b. Suppose the demand for good X is.(Q: quantity, P:price). Evaluate the type of elasticity of demand at price is RM0.5 and RM2.5 by using the Total Revenue (TR) approach.[3 Marks]
a. Given that annual demand and supply for the E&E Electronics Company is given by:
where Q is output, P is price per unit, M is income, and PR the price of a related good.
The manager estimates the values of M and PR will be RM32,000 and RM4, respectively.
Determine the following functions:
i. Forecast demand function [2 Marks]
ii. Inverse demand function
[2 Marks]
iii. Average revenue function
[2 Marks]
iv. Marginal revenue function
[1 Mark]
b. Suppose the demand for good X is.(Q: quantity, P:price). Evaluate the type of elasticity of demand at price is RM0.5 and RM2.5 by using the Total Revenue (TR) approach.[3 Marks]
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Climate Change And Natural Disasters Transforming Economies And Policies For A Sustainable Future
Authors: Vinod Thomas
1st Edition
1351527916, 9781351527910
