Question

Kiran company is major producer if steel. Management estimates that the demand of the company's steel id given by the equation
Qx = 5000 - 1000 Px +0.1 I + 100 Pc
Using this information, the company's manager want to determine what effect a price increase would have on total revenue. Evaluate how sale of steel would change during a period of rising incomes. Assume the probable impact of competing producers raise their prices. Assume that the initial claues of Px, i, pc are $1, $20,000 and $0.80 respectively.