The Demand Function for Tickets to Ireland Is Expressed as Qd

question 130

Multiple Choice

The demand function for tickets to Ireland is expressed as Qd = 1600 - 0.005P + 2P_England + 3rain + 2Y,where P is the price for tickets to Ireland,P_England is the price of tickets to England,rain is the inches of rain Ireland receives annually,and Y is annual household income.Assuming P_England is $1000,rain is 30 inches per year,and income is 40,000,how much would the price of tickets to Ireland have to fall for consumers to be willing to buy one more trip per year?

• A) $15
• B) $20
• C) $50
• D) $200

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Definitions:

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The total profit or loss of a company after all revenues, costs, and expenses have been accounted for.

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