Q.The owner of a milk store finds that, he can sell litres of milk each week at Rs /litre and litres of milk each week at Rs /litre. Assuming a linear relationship between selling price and demand, how many litres could he sell weekly at Rs /litre?
You're viewing a preview — the full solution, concept, methods & PYQ mapping are locked.
Start your 14-day free trial to unlock the full solution →Using linear interpolation between the two given price-demand points, the weekly demand at Rs 17/litre is 1340 litres.
Why Linear Interpolation Works Here
The problem tells us to assume a linear relationship between selling price and demand. That means if we plot price on one axis and quantity demanded on the other, the points will lie on a straight line. Once we know two points on that line, we can find any other point — including the demand at a price of Rs 17.
This is a classic application of the two-point form of a straight line. The key insight: the rate at which demand changes with price is constant.
Step-by-Step Solution
1. Identify the given points
Let price be (in Rs/litre) and demand be (in litres/week).
We have:
- At ,
- At ,
2. Find the slope of the line
The slope tells us how much demand changes per rupee change in price:
So demand increases by 120 litres for every Rs 1 increase in price.
The positive slope makes sense here: higher price means more milk supplied (or more willingness to sell), so quantity demanded increases. In a typical demand curve the slope would be negative, but here "demand" means the quantity the store can sell — effectively the supply side.
3. Write the equation of the line
Using point-slope form with :
Simplify:
…
Unlock everything free for 14 days
- Full step-by-step solutions
- Concept-first explanations
- Methods, shortcuts & mistakes
- PYQ mapping + timed mock tests
Full access for 14 days. No credit card required.