Chapter 5.1, Problem 10E

(a)

To determine

To calculate: The equilibrium point where $D\left(x\right)=5-x,0\le x\le 5$ is the price, in dollars per unit, that consumers will pay for $x$ units of an item, and $S\left(x\right)=\sqrt{x+7}$ is the price, in dollars per unit, that producers will accept for $x$ units.

(b)

To determine

To calculate: The consumer surplus at the equilibrium point where $D\left(x\right)=5-x,0\le x\le 5$ is the price, in dollars per unit, that consumers will pay for $x$ units ofan item, and $S\left(x\right)=\sqrt{x+7}$ is the price, in dollars per unit, that producers will accept for $x$ units.

(c)

To determine

To calculate: The producer surplus point at the equilibrium point where $D\left(x\right)=5-x,0\le x\le 5$ is the price, in dollars per unit, that consumers will pay for $x$ units of an item, and $S\left(x\right)=\sqrt{x+7}$ is the price, in dollars per unit, that producers will accept for $x$ units.