Topic Three: Applications of Demand and Supply
1.
Suppose the demand and supply curves for good M are as follows:
QD = 70 - 2P
QS = -10 + 2P
where
P is price per kg measured in dollars
and Q is quantity measured in 000kgs
(a) Sketch the demand and supply

Topic Four: Production and Costs
1.
Explain the difference between explicit and implicit costs, giving examples.
Explicit costs are costs that occur and are reported in business documents. They are also known
as direct costs or accounting costs. An explic

Topic Two: Demand, Supply and Elasticity
1.
(a) Suppose the demand and supply curves for good X are as follows:
QD = 200 - 5P
QS = -25 + 4P
where P is in dollars per unit of X.
(i) Sketch the demand and supply curves.
(ii) What does "ceteris paribus" mean

MICROECONOMICS
Topic Two: Demand, Supply and Elasticity
1.
(a) Suppose the demand and supply curves for good X are as follows: QD = 200 - 5P
QS = -25 + 4P where P is in dollars per unit of X.
(i)
Sketch the demand and supply curves.
Demand Curves:
P=0 ; Q