Answer to Question #55589 in Microeconomics for suman
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
The market demand equation for the fruit seller is: D = D1 + D2 + D3 = 60 - 0.15P
Qd = Qs, so:
60 - 0.15P = 30,
0.15P = 30,
P = $200 is the price at which he can sell all the apples.
The individual demands will be:
D1 = 25 - .05*200 = 15 units
D2 = 20 - .025*200 = 15 units
D3 = 15 - .075*200 = 0 units.
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