Law of supply and demand problem.. Help?
Price(Php) ----quantity demanded---- quantity supplied
60 ---- 100 ---- 30
70 ---- 80 ---- 45
80 ---- 60 ---- 60
90 ---- 40 ---- 75
100 ---- 20 ---- 90
Above is a schedule of the daily demand and supply for Tammy's regular pizzas/ Please answer the questions(show complete solutions)
1) To increases their profits, Tammy's Takeaways increases the price of regular pizzas to 100Php
a) Identify the quantity demanded and quantity supplied at the new price
b) How big is the surplus?
c) Explain how market forces would move the price back to equilibrium.
2) In a bid to increase sales, Tammy Takeaways decides to drop the price for regular pizzas 60Php each.
a)At the new price, what is the quantity demanded and quantity supplied?
b) How big is the shortage?
c) Explain how market forces would move the price back to equilibrium.
Thank you
)
PLease show solutions .. tThanks
Price(Php) ----quantity demanded---- quantity supplied
60 ---- 100 ---- 30
70 ---- 80 ---- 45
80 ---- 60 ---- 60
90 ---- 40 ---- 75
100 ---- 20 ---- 90
Above is a schedule of the daily demand and supply for Tammy's regular pizzas/ Please answer the questions(show complete solutions)
1) To increases their profits, Tammy's Takeaways increases the price of regular pizzas to 100Php
a) Identify the quantity demanded and quantity supplied at the new price
b) How big is the surplus?
c) Explain how market forces would move the price back to equilibrium.
2) In a bid to increase sales, Tammy Takeaways decides to drop the price for regular pizzas 60Php each.
a)At the new price, what is the quantity demanded and quantity supplied?
b) How big is the shortage?
c) Explain how market forces would move the price back to equilibrium.
Thank you
)PLease show solutions .. tThanks