Q.The equilibrium quantity and the equilibrium price of a product are determined by the point where the supply and demand curves intersect. For a given product, the supply is determined by the line qsupply=30p−45 and for the same product, the demand is determined by the line qdemand=−15p+855. Determine the equilibrium price and the equilibrium quantity and trace the supply and demand lines on the same graph.
Sikkim CbseNCERTSubjective· 3mImportance★★★★★est
60% · 24/40 Questions
✓ Free question
Concept understanding — Various Forms of the Equation of a Line
Various Forms of the Equation of a Line
Imagine you want to describe a straight line to someone who has never seen it. You could say "it goes through this point and slants like this" — that's the intuition. In coordinate geometry, we capture that same idea using equations. A line is just the set of all points (x,y) that satisfy a certain condition. Different conditions give us different forms of the same line.
1. Slope-Intercept Form: y=mx+c
This is the most familiar form. Here m is the slope (steepness) and c is the y-intercept (where the line cuts the y-axis).
Why it works: If you know how much the line rises for every unit it runs horizontally (m), and where it starts on the y-axis (c), you can write the equation directly.
Tip
To find m: pick any two points (x1,y1) and (x2,y2) on the line, then m=x2−x1y2−y1.
Example: A line with slope 2 and y-intercept -3 is y=2x−3.
2. Point-Slope Form: y−y1=m(x−x1)
Suppose you know the slope m and one point (x1,y1) on the line. The point-slope form says: the difference in y from that point equals the slope times the difference in x.
Intuition: If you stand at (x1,y1) and move horizontally by (x−x1), you must move vertically by m times that amount to stay on the line.
y−y1=m(x−x1)
Example: Line through (2,5) with slope −4: y−5=−4(x−2).
3. Two-Point Form: y2−y1y−y1=x2−x1x−x1
If you know two points (x1,y1) and (x2,y2), you don't need to compute slope separately. This form says the ratio of vertical change to total vertical span equals the ratio of horizontal change to total horizontal span.
Why it's natural: It's just the condition that the three points (x1,y1), (x2,y2), and (x,y) are collinear — they all lie on the same straight line.
Watch out
If x1=x2 or y1=y2, the denominator becomes zero. That's fine — it just means the line is vertical or horizontal. Use the appropriate special form instead.
Example: Line through (1,2) and (3,8): 8−2y−2=3−1x−1, which simplifies to y=3x−1.
4. Intercept Form: ax+by=1
Here a is the x-intercept (where the line cuts the x-axis) and b is the y-intercept.
Intuition: When y=0, the equation gives x=a; when x=0, it gives y=b. So the line passes through (a,0) and (0,b).
Important
This form only works if the line cuts both axes (i.e., a=0 and b=0). A line through the origin cannot be written this way.
Example: A line with x-intercept 4 and y-intercept -3: 4x+−3y=1, or 4x−3y=1.
5. Normal Form: xcosθ+ysinθ=p
This is the most geometric form. Here p is the perpendicular distance from the origin to the line, and θ is the angle that this perpendicular makes with the positive x-axis.
Why it's useful: It directly gives the distance of the line from the origin — something the other forms hide.
Note
| Form | When to use |
|------|-------------|
| Slope-intercept | Slope and y-intercept known |
| Point-slope | Slope and one point known |
| Two-point | Two points known |
| Intercept | Both intercepts known |
| Normal | Distance from origin and direction of perpendicular known |
6. General (Standard) Form: Ax+By+C=0
Every line can be written this way, with A and B not both zero. This is the universal form — it handles vertical lines (B=0), horizontal lines (A=0), and everything in between.
Converting between forms: You can always rearrange any of the above into Ax+By+C=0, and vice versa.
Tip
To find the slope from the general form: m=−BA (provided B=0).
Putting It All Together
All these forms describe the same geometric object — a straight line — just from different starting information. The skill is to pick the form that matches what you're given, then convert if needed.
Example: A line passes through (2,3) and (5,7). Write its equation in all forms.
Two-point:7−3y−3=5−2x−2⟹4y−3=3x−2
Slope:m=34, so point-slope: y−3=34(x−2)
Slope-intercept:y=34x+31
General:4x−3y+1=0
Intercept:−1/4x+1/3y=1 (here a=−41, b=31)
Normal:p=42+(−3)2∣1∣=51, cosθ=54, sinθ=−53, so x(54)+y(−53)=51
Each form reveals something different about the same line.
Market equilibrium occurs where the quantity supplied equals the quantity demanded, so setting the two given linear equations equal and solving for p gives the equilibrium price and quantity.
At market equilibrium, quantity supplied equals quantity demanded — set the two given linear equations equal and solve for p, then back-substitute for q.
Equilibrium condition:
qsupply=qdemand
with qsupply=30p−45 and qdemand=−15p+855.
Set supply equal to demand.
30p−45=−15p+855
Collect p-terms on one side. Add 15p to both sides:
30p+15p−45=855⟹45p−45=855
Add 45 to both sides.
45p=855+45=900
Solve for p (the equilibrium price).
p=45900=20
So the equilibrium price is p=₹20.
Find the equilibrium quantity by substituting p=20 into either equation. Using supply:
q=30(20)−45=600−45=555
Check using demand: q=−15(20)+855=−300+855=555 — same value.
Graphing note. On the same (p,q) axes: the supply line q=30p−45 rises steeply (slope 30, q-intercept −45); the demand line q=−15p+855 falls (slope −15, q-intercept 855). They cross exactly at (p,q)=(20,555) — the equilibrium point.
Self-check. Both equations independently give q=555 at p=20, confirming consistency; and both p=20>0 and q=555>0 are economically meaningful (positive price and quantity).
✓Final answer
Equilibrium price p=₹20; equilibrium quantity q=555 units — the point where the supply and demand lines intersect on the graph.