Use the Following General Linear Demand Relation $Q _ { d } = 100 - 5 P + 0.004 M - 5 P _ { R }$

question 58

Multiple Choice

Use the following general linear demand relation: $Q _ { d } = 100 - 5 P + 0.004 M - 5 P _ { R }$ where P is the price of good X,M is income,and $P _ { R }$ is the price of a related good,R.What is the demand function when M = $50,000 and $P _ { R}$ = $10?

• A) \(Q _ { d } = 350 - 5 P\)
• B)
• \(Q _ { d } = 300 - 5 P\)
• C) \(Q _ { d } = 200 - 5 P\)
• D) \(Q _ { d } = 100 - 5 P\)
• E)none of the above

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