Respuesta :
If the price of the product is increased by $10
The quantity supplied will increase by 5 unit
The correct option is A.
What is supply and demand?
A microeconomic model of how prices are set in a market is supply and demand. It asserts that, with everything else being equal, in a market that is competitive, the unit price for a certain good will depend on the ratio between the number of goods and services that people can purchase and the number of goods and services that they desire to purchase. The law of supply and demand states that if less of a product is produced than the market requires, a higher price can be charged for it.
According to the given information :
If the price is increased by $10,
S(P) = 1/2 P + 40
Substituting the value of P :
S(P) = 1/2 (10) + 40
S(P) = 10/2 + 40
S(P) = 5 + 40
The quantity supplied will increase by 5 unit.
To know more about supply and demand visit:
https://brainly.com/question/15286334
#SPJ4
I understand that the question you are looking for is :
S(P) = 1/2 p + 40
D(P) = 220 - P
The quantity of a product supplied and the quantity of the product demanded in an economic market are functions of the price of the product. The functions above are the estimated supply and demand functions for a certain product. The function S(P) gives the quantity of the product supplied to the market when the price is P dollars, and the function D(P) gives the quantity of the product demanded by the market when the price is P dollars.
How will the quantity of the product supplied to the market change if the price of the product is increased by $10 ?
A) The quantity supplied will decrease by 5 units.
B) The quantity supplied will increase by 5 units.
C) The quantity supplied will increase by 10 units.
D) The quantity supplied will increase by 50 units.
