Demand Equation: In order to sell 10,000 packages of golf balls per month, your company must charge wholesalers $5.00 per package. In order to sell 15,000 packages per month you can only charge $4.25. Write the demand equation for your golf balls.
Demand Equation: In order to sell 10,000 packages of golf balls per month, your company must charge wholesalers $5.00 per package. In order to sell 15,000 packages per month you can only charge $4.25. Write the demand equation for your golf balls.
You have two points relating demand and price. The demand "depends" on the price.
When the price is $5, the demand is 10,000.
When the price is $4.25, the demand is 15,000.
The points, in the form (p, d) are
(5, 10000) and (4.25, 15000)
Since demand depends on price,
d = m*p + b
Use the two points to find the slope m. Then, use ONE of the given points to find the value of b. Once you have these two things, you can write the "demand" equation.
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