Extension practice from equations (in the exam these values are read from a diagram). The figures are invented. In a competitive market the demand curve is P = 20 − Q and the supply curve is P = 2 + Q, where P is the price in $ and Q is the quantity in units per day. (i) Calculate the equilibrium price and quantity. [2] (ii) Calculate consumer surplus and producer surplus. [2]

Skills drill (not an IB exam format).