A1). The price, p, that a bookstore charges for a special gift edition of a popular trilogy is related to the demand, q, by the equation 100pq + q? = 5,000,000. Suppose the price is currently set at $40. (a). At what rate is the demand currently changing with respect to this price? (Include units) (b). At what rate is the revenue currently changing with respect to this price? (Hint: use the chain rule). (Include units). (c). Suppose the demand is currently increasing at a rate of 50 copies per month. How fast is the price currently changing per month? (again, assume the price is currently $40).Include units.
A1). The price, p, that a bookstore charges for a special gift edition of a popular trilogy is related to the demand, q, by the equation 100pq + q? = 5,000,000. Suppose the price is currently set at $40. (a). At what rate is the demand currently changing with respect to this price? (Include units) (b). At what rate is the revenue currently changing with respect to this price? (Hint: use the chain rule). (Include units). (c). Suppose the demand is currently increasing at a rate of 50 copies per month. How fast is the price currently changing per month? (again, assume the price is currently $40).Include units.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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![A1). The price, p, that a bookstore charges for a special gift edition of a popular trilogy is related to the demand, q,
by the equation 100pq + q? = 5,000,000. Suppose the price is currently set at $40.
(a). At what rate is the demand currently changing with respect to this price? (Include units)
(b). At what rate is the revenue currently changing with respect to this price? (Hint: use the chain rule). (Include
units).
(c). Suppose the demand is currently increasing at a rate of 50 copies per month. How fast is the price currently
changing per month? (again, assume the price is currently $40).Include units.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F977d4216-a79b-4a3a-96f5-a8c1e8859fbb%2Fec249162-087a-46e6-b235-ea9ffce214e2%2Fsia0it_processed.png&w=3840&q=75)
Transcribed Image Text:A1). The price, p, that a bookstore charges for a special gift edition of a popular trilogy is related to the demand, q,
by the equation 100pq + q? = 5,000,000. Suppose the price is currently set at $40.
(a). At what rate is the demand currently changing with respect to this price? (Include units)
(b). At what rate is the revenue currently changing with respect to this price? (Hint: use the chain rule). (Include
units).
(c). Suppose the demand is currently increasing at a rate of 50 copies per month. How fast is the price currently
changing per month? (again, assume the price is currently $40).Include units.
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