BACHELOR OF BUSINESS ADMINISTRATION

Detailed explanation-1: -The equilibrium price is the price at which the quantity demanded equals the quantity supplied. It is determined by the intersection of the demand and supply curves.

Detailed explanation-2: -When you combine the supply and demand curves, there is a point where they intersect-this point is called the market equilibrium. The price at this intersection is the equilibrium price, and the quantity is the equilibrium quantity. At the equilibrium price, there is no shortage or surplus.

Detailed explanation-3: -This means that for a quantity to the right of the intersection, nobody is willing to pay the full cost of production of the good, with the result that those goods will not be made. The point where the supply and demand curves intersect is called the Market Equilibrium.

Detailed explanation-4: -The supply curve shows quantity supplied at various prices, and the demand curve shows quantity demanded at various prices, so at the intersection of the two curves, these quantities and prices are equal. Therefore, equilibrium price is represented by the intersection of the supply and demand curves.

Detailed explanation-5: -Equilibrium price. When a product exchange occurs, the agreed upon price is called an equilibrium price, or a market clearing price. Graphically, this price occurs at the intersection of demand and supply as presented in Image 1. In Image 1, both buyers and sellers are willing to exchange the quantity Q at the price P.