Suppose the Market for Shoes Consists of Three Consumers What Is the Market Demand for Shoes When the Price

question 71

Multiple Choice

Suppose the market for shoes consists of three consumers. The table below shows the quantity demanded at various prices for each consumer: $$\begin{array} { | c | c | c | c | } \hline \begin{array} { c } \text { Price Per } \\\text { Pair }\end{array} & \begin{array} { c } \text { Pairs } \\\text { Demanded } \\\text { by Pat }\end{array} & \begin{array} { c } \text { Pairs } \\\text { Demanded } \\\text { by Leigh }\end{array} & \begin{array} { c } \text { Pairs } \\\text { Demanded } \\\text { by Chris }\end{array} \\\hline \$ 100 & 0 & 1 & 0 \\\hline \$ 75 & 0 & 3 & 1 \\\hline \$ 50 & 1 & 7 & 3 \\\hline \$ 30 & 2 & 10 & 5 \\\hline\end{array}$$ What is the market demand for shoes when the price is $50 a pair?

• A)7 pairs
• B)11 pairs
• C)15 pairs
• D)It will depend on the quantity supplied when the price is $50 a pair.

Recognize the benefits of quick response and tailored sourcing in supply chain management.

Evaluate the effects of forecast accuracy and lead time on supply chain performance.

Understand the relationship between forecast error (standard deviation) and its impact on expected profit and understock.

Grasp the concepts of optimal order quantity and capacity considerations in single and multiple product ordering.

---

Definitions:

Lowest Terms

A fraction simplified to its smallest possible denominator and numerator, with no common factors other than 1.

Fashion Retail Business

A commercial enterprise focused on the buying and selling of clothing, accessories, and beauty products to consumers, often involving trends analysis and inventory management.

Lowest Terms

The simplest form of a fraction where the numerator and denominator are reduced to their smallest values.

Provincial Government

A form of government found at the sub-national level, typically responsible for local regions within a country, managing areas like education and transportation.