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Suppose the demand and supply for a product is given by the following equations: p=d(q)=−0.8q+150 (Demand)...

Suppose the demand and supply for a product is given by the following equations:

p=d(q)=−0.8q+150 (Demand)

p=s(q)=5.2q (Supply)

For both functions, q is the quantity and p is the price.

  1. Find the equilibrium point. (Equilibrium price and equilibrium quantity) (1.5 Marks)
  2. Compute the consumer surplus. (1.5 Marks)
  3. Compute the producer surplus. (1.5 Marks)
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