The Market Demand for Joy's Frozen Yogurt is given as:
Where Qd= Annual demand for frozen yogurt
Phd= Price of hot dogs
Psd= Price of soft drinks
A= Advertising expenditures
Pop= Percentage of the population
If Phd = 100, Psd = 75, A = 20, Pop = 35
How do you come up with the demand equation? How do you find out what the optimum price and quantity is that will maximize the profit for Joy's yogurt?© BrainMass Inc. brainmass.com October 10, 2019, 12:51 am ad1c9bdddf
Qd = -100P + 1.5Phd - 5Psd + 20A + 15Pop
Plug in Phd = 100, Psd = 75, A = 20 and Pop = 35 into the above equation. ...
The demand equation for Joe's Frozen Yoghurt are given. A complete, neat and step-by-step solution is provided.