Q3 The relations describing demand and supply for a hairdresser's service can be showed as the following equations: QD=540-16P Qs =-300+12P Where Q is the number of customers that need hair services and P is the service fee, in dollars. a. At what average fee would demand equal zero? b. At what average fee would supply equal zero? ( c. What is the equilibrium price and output level? d. Suppose demand increases and leads to a new demand curve:
Q3 The relations describing demand and supply for a hairdresser's service can be showed as the following equations: QD=540-16P Qs =-300+12P Where Q is the number of customers that need hair services and P is the service fee, in dollars. a. At what average fee would demand equal zero? b. At what average fee would supply equal zero? ( c. What is the equilibrium price and output level? d. Suppose demand increases and leads to a new demand curve:
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![Q3 The relations describing demand and supply for a hairdresser's service can be showed as the
following equations:
QD=540-16P
Qs =-300+12P
Where Q is the number of customers that need hair services and P is the service fee, in dollars.
a. At what average fee would demand equal zero?
b. At what average fee would supply equal zero? (
c. What is the equilibrium price and output level?
d. Suppose demand increases and leads to a new demand curve:
QD=624 - 10P
What are the new equilibrium price and quantity? (
e. Suppose new suppliers enter the market due to the increase in demand so the new supply
(demand curve : QD=624-10P). What are the new equilibrium price
curve is Q = 160+ 12 P
and equilibrium quantity??
2](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fc0a0eb44-0d82-4149-bd9e-63330869cded%2F01297bca-1855-442a-8983-3e1ce73adfad%2F8301jyd_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Q3 The relations describing demand and supply for a hairdresser's service can be showed as the
following equations:
QD=540-16P
Qs =-300+12P
Where Q is the number of customers that need hair services and P is the service fee, in dollars.
a. At what average fee would demand equal zero?
b. At what average fee would supply equal zero? (
c. What is the equilibrium price and output level?
d. Suppose demand increases and leads to a new demand curve:
QD=624 - 10P
What are the new equilibrium price and quantity? (
e. Suppose new suppliers enter the market due to the increase in demand so the new supply
(demand curve : QD=624-10P). What are the new equilibrium price
curve is Q = 160+ 12 P
and equilibrium quantity??
2
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