1. The demand and supply for hotel rooms in a city is given by

Qd=100-5P

Qs=5P

1. What is the price and number of rooms sold?
2. Suppose the city puts a $10 tax on rooms that must be paid by the hotelier:

Qs=5(P-T)

What is the price to the hotelier, travelers, and number of rooms?

1. What is the loss of wealth (dead weight loss)?