Paper , Order, or Assignment Requirements
- Broadway Infotec Sdn Bhd determined three contributing factors that influence the sales of desktop computers in West Malaysia which is indicated by the following equation:
Q = 15,000 – 0.25P – 0.4Pc + 0.02I
Where Q is desktop computers sales, P is price of desktop computers, Pc is price of laptop and I is percapita disposable income. Assume that P = RM2,000 and I = RM7,000
- a) Find the demand curve equation
- b) Calculate the total revenue maximizing price and output
- c) Determine the maximum amount of total revenue
- d) What would happen to total revenue if there is an increase in price?