Please read the Instruction below
Use Microsoft word and MLA format for this homework. If you cannot use Excel to graph the Demand

and Supply , then graph them by hand and scan it and attach it.

1: Assume that demand for a commodity is represented by the equation P = 10 – 0.2 Q d, and supply

by the equation P = 2 + 0.2 Qs where Qd and Q s are quantity demanded and quantity supplied,

respectively, and P is the Price. Use the equilibrium condition Qs = Qd ,

1: Solve the equations to determine equilibrium price.

2: Now determine equilibrium quantity.

3: Graph the two equations to substantiate your answers and label these two graphs as D1 and S1.

4: Furthermore; assume the demand for this product increases because of a change in income.

A: graph the new demand curve and label as D 2.

B: What will be the new equilibrium price and quantity compare to the initial one. C. Is this

product normal good or inferior good?