Question

The demand for your hand-made skateboards, in weekly sales, is q = −3p + 700 if the selling price is $p. You are prepared to supply q = 2p − 500 per week at the price $p. What price should you sell your skateboards for so that there is neither a shortage nor a surplus?

Answer 1

Answer:

you should sell your skateboards at $240

Explanation:

The price p to sell your skateboards for so that there is neither a shortage nor a surplus is the price that makes equal the quantity of sales and the quantity of supply, so p is equal to:

q (sales) = q (supply)

-3p + 700 = 2p - 500

700 + 500 = 2p + 3p

1200 = 5p

1200/5 = p

$240 = p