Question

The price per unit of a product is p dollars and the number of units of the product is denoted by q. The supply function for a product is given by (20,000/q)+15, and the demand for the productis given by p=(120+q)/4.

Is the supply function a linear function or a shifted reciprocal function?

Is the demand function a shifted linear function or a shifted reciprocal function?

Answer 1

Answer:

(1). The supply function is a shifted reciprocal function

(2). The demond function is shifted linear function.

Explaination:

(1). The supply function (s). for a product is

-------------------------------------- (1)

So, clearly the supply function is reciprocal function as is varies inversely with units of product (q). Also, it is shifted by 15 unit. So, This supply function is shifted reciprocal functioin.

(2). The demond function (d) is defined as.

-------------------------------------------------- (2)

So, clearly, lthe demond function is a linear function in 'q'. That means it depends linearly on 'q'. Also, it is shifted by 30 units.

Hence, The demond function is a shifted linear function.