4) The demand and supply functions of shirts are respectively given by;Q = 200-5P and Q =-120+10P%3Da) Find the equilibrium price and quantityb) If a tax of GHC8.00 per unit is imposed calculate the equilibrium price and quantityc) What is the distribution of tax to the consumer and the producer?d) Analyse the introduction of price minimum of GHC20 on the good in the markete) Calculate the values of consumer and producer surplus at the market equilibriumf) If the total cost of the firm is TC = 0.8Q²+30Q-5, find the quantity to be produced at thebreak-even point

We know that at equilibrium the demand equals the supply. Thus, the equilibrium price will be:…

Answered: 4) The demand and supply functions of…

4) The demand and supply functions of shirts are respectively given by; Q = 200-5P and O=-120+10P a) Find the equilibrium price and quantity

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

4) The demand and supply functions of shirts are respectively given by;
Q = 200-5P and Q =-120+10P
%3D
a) Find the equilibrium price and quantity
b) If a tax of GHC8.00 per unit is imposed calculate the equilibrium price and quantity
c) What is the distribution of tax to the consumer and the producer?
d) Analyse the introduction of price minimum of GHC20 on the good in the market
e) Calculate the values of consumer and producer surplus at the market equilibrium
f) If the total cost of the firm is TC = 0.8Q²+30Q-5, find the quantity to be produced at the
break-even point

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