2) Supply and Demand. Let the supply and demand functions for sugar be given by
p = S(q) = 1.4q - .6 and
p = D(q) = -2q + 3.2,
where p is the price per pound and q in the quantity in thousands of pounds.
a. Graph these on the same axes.
b. Find the equilibrium quantity and the equilibrium price.
3) Publishing Cost. Enrique Gonzales owns a small publishing house specializing in Latin American poetry. His fixed cost to produce a typical poetry volume is $525, and his total cost to produce 1000 copies of the book is $2675. His books sell for $4.95 each.
a. Find the linear cost function for Enrique's book production.
b. How many poetry books must he produce and sell in order to break even?
a)refer to the attachment
b) from the system:
p = 1.4q - 0.6 (1)
p = -2q + 3.2 (2)
(1)-(2): 0 = 3.4q-3.8 or q*=1.12 (thousand ...
A Supply and Demand and Cost Function are solved.