Suppose the demand and supply curves for a computer software

Suppose the demand and supply curves for a computer software are as follows:

Q_d = 189 - 2.25P

Q_s = 124 + 1.5P

The price is measured in dollars.

What is the equilibrium price and quantity of this good?

At the market equilibrium, what is the price elasticity of demand?

If the government regulates the price to be $15, what will happy to the market? Surplus or shortage? How much?

Qd=189-202p

Qs=124+1.5p

To determine the equilibrium price, do the following.

Set quantity demanded equal to quantity supplied:

Qd=189-2.25p=124+1.5p

2. Add 50P to both sides of the equation.

You get. 189-2.25p+50p=124+1.5p+50p,

189+47.75p=124+51.5p, 3.75p=65

Add 100 to both sides of the equation.

103.75p=165

p=1.59

So the equilibrium price is $1.59

Now to find the equilibrium quantity you just need to put thr value of p on Qs and Qd.