document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=799124>Question 799124</A>: <I><SPAN STYLE=\"word-break: break-all;\"> At $0.60 per bushel, the daily supply for wheat is 450 bushels and the daily demand is 645 bushels. When the price is raised to $0.90 per bushel, the daily supply increases to 750 bushels and the daily demand decreases to 495 bushels. Assume that the supply and demand equations are linear.\r<BR>\n" );
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document.write( "(A) Find the supply equation.<BR>\n" );
document.write( "(B) Find the demand equation.<BR>\n" );
document.write( "(C) Find the equilibrium price and quantity. </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #482508 by </B><A HREF=/tutors/aboutme.mpl?userid=stanbon><B>stanbon(75887)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=stanbon><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/images/nopicture.jpg><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=482508\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> At $0.60 per bushel, the daily supply for wheat is 450 bushels and the daily demand is 645 bushels. When the price is raised to $0.90 per bushel, the daily supply increases to 750 bushels and the daily demand decreases to 495 bushels. Assume that the supply and demand equations are linear. <BR>\n" );
document.write( "(A) Find the supply equation.<BR>\n" );
document.write( "(0.6,450) and (0.9,750)<BR>\n" );
document.write( "slope = (750-450)/(0.9-0.6) = 300/0.3 = 1000<BR>\n" );
document.write( "450 = 1000*0.6+b<BR>\n" );
document.write( "450 = 600 + b<BR>\n" );
document.write( "b = -150<BR>\n" );
document.write( "S(x) = 1000x - 150<BR>\n" );
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document.write( "(B) Find the demand equation.<BR>\n" );
document.write( "(0.6,645) and (0.9,495)<BR>\n" );
document.write( "slope = -150<BR>\n" );
document.write( "645 = -150*0.6 + b<BR>\n" );
document.write( "b = 555<BR>\n" );
document.write( "D(x) = -150x + 555<BR>\n" );
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document.write( "(C) Find the equilibrium price and quantity.<BR>\n" );
document.write( "Solve S(x) = D(x)<BR>\n" );
document.write( "1000x - 150 = -150x + 555<BR>\n" );
document.write( "1150x = 705<BR>\n" );
document.write( "x = 0.613 (price)<BR>\n" );
document.write( "S(0.613) = 1000*0.613 - 150 = 613-150 = 463 (supply)<BR>\n" );
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document.write( "Cheers,<BR>\n" );
document.write( "Stan H.<BR>\n" );
document.write( "=============== </SPAN>\n" );
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