unit 2 lesson 3 the linear demand function

Linear Demand Functions The Linear Demand Function Qd = 300 – 30P for Espresso coffee beans. 1. Create a Demand Schedule with Prices $0, $5, $10, $15, $20. 2. Draw a Demand Curve by plotting the points you found in your Demand Schedule. 3. There is a decrease in Demand for coffee beans changing your “a” variable by 50. Write the new equation equation and complete the new new Demand Schedule. 4. Plot the new Demand curve on the same graph. 5. Consumers have become less responsive to price changes of coffee bean due to the addictive qualities of cof fee. fee. It causes the “b” variable variable to change by 10. Write the new Demand function (based on the original), calculate the new Demand Schedule and sketch the new demand curve on the same graph.