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If demand curve for house cleaning services is D = 45000 - 21P and supply curve is S = 15000 + 9P, find the equilibrium Quantity?
  • a)
    12000 units
  • b)
    6000 units
  • c)
    24000 units
  • d)
    30000 units
Correct answer is option 'C'. Can you explain this answer?
Most Upvoted Answer
If demand curve for house cleaning services is D = 45000 - 21P and su...
Equilibrium Quantity is the quantity at which the demand for a product or service equals the supply of that product or service. In other words, it is the quantity at which the buyers are willing to buy and the sellers are willing to sell at the same price.

Given:
Demand curve: D = 45000 - 21P
Supply curve: S = 15000 + 9P

To find the equilibrium quantity, we need to equate the demand and supply equations and solve for the quantity.

Setting the demand equal to the supply:
45000 - 21P = 15000 + 9P

Simplifying the equation:
42P = 30000

Dividing both sides of the equation by 42:
P = 714.29

Now, we can substitute the value of P into either the demand or supply equation to find the equilibrium quantity.

Using the demand equation:
D = 45000 - 21(714.29)
D = 45000 - 15000
D = 30000

Therefore, the equilibrium quantity is 30000 units.

Hence, the correct answer is option 'd) 30000 units'.
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Community Answer
If demand curve for house cleaning services is D = 45000 - 21P and su...
D = 45000 - 21P ------ (1)
and S = 15000 + 9P ---- (2)
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If demand curve for house cleaning services is D = 45000 - 21P and supply curve is S = 15000 + 9P, find the equilibrium Quantity?a)12000 unitsb)6000 unitsc)24000 unitsd)30000 unitsCorrect answer is option 'C'. Can you explain this answer?
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