Question

Suppose John and Wayne are the only two demanders of cowboy movies. Each month, John buys six cowboy movies when the price is $10 each, and he buys four cowboy movies when the price is $15 each. Each month, Wayne buys four cowboy movies when the price is $10 each, and he buys two cowboy movies when the price is $15 each. Which of the following points is on the market demand curve?
A.) quantity demanded = 2; price = $15
B.) quantity demanded = 4; price = $25
C.) quantity demanded = 10; price = $10
D.) quantity demanded = 16; price = $25

Answer 1

Answer: the correct answer is C.) quantity demanded = 10; price = $10

Explanation:

John's Demand               Wayne's Demand           Total Demand

Price        Quantity           Price         Quantity          Price     Quantity

$10               6                   $10              4                     $10         (6+4)=10

$15               4                    $15              2                      $15         (4+2)=6