Answer: Equilibrium Price = $7800
Explanation:
Given that,
y = 300 + 50x
y = 13800 - 40x
where,
y represents the price in dollars and x represents the number of units
Equilibrium point is where both the equations are equal,
300+50x = 13800-40x
90x = 13500
x = [tex]\frac{13500}{90}[/tex]
x = 150 units
y = 300 + 50 × 150
y = $7800
(x,y) = (150, 7800)
Therefore,
Equilibrium Price = $7800
