Suppose the market demand for a cup of cappuccino is given by QD=24-4P and the market supply for a cup of cappuccino is given by Qs=8P-12, where P = price (per cup). Graph the supply and demand schedules for cappuccino. 1.) Using the line drawing tool, draw the demand curve for cappuccino. Label your line 'D'. 2.) Using the line drawing tool, draw the supply curve for cappuccino. Label your line 'S'. 3.) Using the point drawing tool, plot the equilibrium price and quantity. Label your point 'E'. Carefully follow the instructions above and only draw the required objects. The equilibrium price is $ Consumer surplus is $ Producer surplus is $ and the equilibrium quantity is (Round your response to the nearest whole number.) (Round your response to the nearest whole number.) Price per cup ($) Market for Cappuccino Q 10.50 Q 9.00- C 7.50- 6.00- 4.50- 3.00- 1.50 0 3 6 9 12 Cups of cappuccino 15 18 21 24
Suppose the market demand for a cup of cappuccino is given by QD=24-4P and the market supply for a cup of cappuccino is given by Qs=8P-12, where P = price (per cup). Graph the supply and demand schedules for cappuccino. 1.) Using the line drawing tool, draw the demand curve for cappuccino. Label your line 'D'. 2.) Using the line drawing tool, draw the supply curve for cappuccino. Label your line 'S'. 3.) Using the point drawing tool, plot the equilibrium price and quantity. Label your point 'E'. Carefully follow the instructions above and only draw the required objects. The equilibrium price is $ Consumer surplus is $ Producer surplus is $ and the equilibrium quantity is (Round your response to the nearest whole number.) (Round your response to the nearest whole number.) Price per cup ($) Market for Cappuccino Q 10.50 Q 9.00- C 7.50- 6.00- 4.50- 3.00- 1.50 0 3 6 9 12 Cups of cappuccino 15 18 21 24
Chapter4: Demand, Supply, And Market Equilibrium
Section: Chapter Questions
Problem 7P
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everything is in question (21)
Transcribed Image Text:Suppose the market demand for a cup of cappuccino is given by
QD=24-4P
and the market supply for a cup of cappuccino is given by
Qs=8P-12,
where P = price (per cup).
Graph the supply and demand schedules for cappuccino.
1.) Using the line drawing tool, draw the demand curve for cappuccino. Label your line 'D'.
2.) Using the line drawing tool, draw the supply curve for cappuccino. Label your line 'S'.
3.) Using the point drawing tool, plot the equilibrium price and quantity. Label your point 'E'.
Carefully follow the instructions above and only draw the required objects.
The equilibrium price is $
Consumer surplus is $
Producer surplus is $
and the equilibrium quantity is
(Round your response to the nearest whole number.)
(Round your response to the nearest whole number.)
Price per cup ($)
Market for Cappuccino
Q
10.50
Q
9.00-
C
7.50-
6.00-
4.50-
3.00-
1.50
0
3
6
9 12
Cups of cappuccino
15 18
21
24
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