Question: Use the following general linear demand relation: Qd = 1 0 0 5 P + 0 . 0 0 4 M 5 PRQd = 1

Use the following general linear demand relation:
Qd=1005P+0.004M5PRQd=1005P+0.004M5PR
where P is the price of good X, M is income, and PRPR is the price of a related good, R. Income is $80,000, and the price of the related good is $40. Also let consumers' tastes change so that consumers now demand 100 more units at each price. When the price of the good is $50, how many units of the good are demanded?
Multiple Choice
70
200
220
100
None of the choices is correct.

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