Qd = 15 + 10 Advertising – 3 P (Where ‘Advertising’ is the amount that is spent on advertising.)
Calculate each the following:
a. What is the demand if P = 3 and Advertising = 2?
b. What happens if you lower the price to 2? Is this beneficial to the firm? Why?
c. What happens if you raise the price to 4 but also raise the Advertising to 2.1? Is this beneficial to the firm? Why?
d. What is the equilibrium if Qs = 11 + P and we spend 2 on Advertising?
Recently Asked Questions
- Assume that two U.S. Treasury securities were purchased at par ($1000) on your selected date five years ago: 1) a 10-year T-note and 2) a 20-year T-bond. Also
- Evaluate 10 P 4 11 C 3 need help with this question please
- 9 In excess of ninety percent of the body's energy is stored as protein. True False