In Problem 6, the Demand Function for Schrecklichs Is 200

question 18

Multiple Choice

In Problem 6, the demand function for Schrecklichs is 200 - 4P_S - 2P_L and the demand function for LaMerdes is 200 - 3P_L - P_S, where P_S and P_L are respectively the price of Schrecklichs and LaMerdes. If the world supply of Schrecklichs is 130 and the world supply of LaMerdes is 120, then the equilibrium price of Schrecklichs is

• A) $5.
• B) $17.50.
• C) $30.
• D) $25.
• E) $10.

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Definitions:

Igneous Rock

A type of rock that forms from the cooling and solidification of magma or lava.

Molten Rock

Rock that has been heated to a liquid form by extreme temperatures within the Earth's mantle or crust.

Lava

Magma that is erupted onto the surface, or the rock mass into which it solidifies.

Uplift

The vertical elevation of the Earth's surface due to natural causes like tectonic movements.