Find the Equilibrium Point (X,p) of the Demand and Supply $\begin{array}{lr}\text { Demand }&\text { Supply }\\p=410-0.0004 x&p=230+0.0002 x\end{array}$

question 36

Multiple Choice

Find the equilibrium point (x,p) of the demand and supply equations.The equilibrium point is the price p and number of units x that satisfy both the demand and supply equations.
$\begin{array}{lr}\text { Demand }&\text { Supply }\\p=410-0.0004 x&p=230+0.0002 x\end{array}$

• A) (290, 300,000)
• B) (290, -300,000)
• C)(-300,000, -290)
• D)(300,000, 290)
• E)(-300,000, 290)

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Definitions:

Excess Capacity

A situation where a company can produce more than is needed to meet the demand, often resulting in idle resources or underused assets.

Special Equipment

Specialized tools or machinery designed for specific industrial or commercial activities, often requiring significant investment and expertise to operate.

Allocated General Overhead

Distribution of indirect costs to various departments or production processes within an organization.

Variable Costs

Costs that change in proportion to the level of activity or volume of production.