Answer to Question #54938 in Microeconomics for Rajiv
Where D is the demand and P is the price
Market demand equation for the fruit seller
Price at which he can sell all the apples
Individual demands of each of the three customers
D=D1+D2+D3=25-0.05*P+20-0.025*P+15-0.075*P => D=60-0.15*P
Price at which apples will be sold:
Total quantity of apples = 30 => 30=60-0.15*P => P=200 (for price equal to 200 all the apples will be sold).
Individeal demands of each of three customers:
D1=25-0.05*200=15 => D1=15
D2=20-0.025*200=15 => D2=15
D3=15-0.075*200=0 => D3=0
So, D=D1+D2+D3=15+15+0=30 => all apples are sold
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