Question

Producers will make 4000 refrigerators available when the unit price is $390. at a unit price of $430, 8000 refrigerators will be marketed. find the equation relating the unit price p of a refrigerator to the quantity supplied x if the equation is known to be linear.

Answer 1

We have (q,p)=(390,4000) and (430,8000).
Linear function.
p=mq+b
390=4000m+b...........(1)
430=8000m+b...........(2)
(2)-(1)
40=4000m => m=0.01
substitute in (1)
390=4000(0.01)+b
=> b=390-40=350

Equation is therefore
price=0.01(quantity)+350