Suppose in a market for itune cards demand is qd = 1500 - 250p, and supply is qs = 850p. find the equilibrium p* and q*.

At equilibrium point, the demand equation is equal to the supply equation.

Given that the demand is Qd = 1500 - 250P, and supply is Qs = 850P, at equilibrium,

1500 - 250P = 850P

850P + 250P = 1500

1,100P = 1,500

P = $1.36

and the equilibruim Q is 1500 - 250(1.36) = 1,159

Therefore, the equilibruim P* is $1.36 and the equilibruim Q* is 1,159.

Step-by-step explanation:

I think something went wrong with the answer options you provided. and maybe with the problem statement itself.

I see 3 function definitions.

I can tell you what they are and use the provided option phrasing as closely as possible :

h(x) = 0 is a horizontal line (in fact the x-axis)

k(x) = 4x² + 312 is a parabola with the opening upwards

f(x) = x - 1 is a line with positive slope (going from left to right the line goes up)