Problema Solution

Suppose a market research company finds that at a price of p=$20, they would sell x=42 tiles each month. If they lower the price to p=$10, then more people would purchase the tile, and they can expect to sell x=52 tiles in a month's time. Find the equation of the line for the deman equation. Write your answer in the form p=,x+b. Hint: write an equation using two points in the form (x,p).

Answer provided by our tutors

hello there

 

ok, so lets suppose that the price of tiles is on the x axis and the number sold is on the y axis.

so x1 = 20, y1 = 42

and

x2 = 10, y1 = 52

our equation for a straight line is given by

y - y1 = m(x - x1)

m = (y2 - y1)/(x2 - x1)

m = -1

y - 45 = -1( x - 20)

y - 45 = -x + 20

y = -x + 65

n = -p + 65