Let the inverse demand curve for tennis classes is p 90 -


Let the inverse demand curve for tennis classes is: P = 90 - 1.5Q.

(a) If the equilibrium price is $15, calculate the optimal quantity and the consumer surplus.

(b) If price increase to $30, calculate the optimal quantity and the new consumer surplus.

(c) Suppose the club decides to include a membership, what is the maximum membership that the club can fix with the new price?

Request for Solution File

Ask an Expert for Answer!!
Business Economics: Let the inverse demand curve for tennis classes is p 90 -
Reference No:- TGS0995284

Expected delivery within 24 Hours