1. **Stating the problem:**
We are given demand and supply data for watermelons at different prices and asked to find the new equilibrium price if supply increases by 60% at each price level.
2. **Understanding equilibrium price:**
The equilibrium price is where quantity demanded equals quantity supplied, i.e., $Q_d = Q_s$.
3. **Given demand and supply functions:**
From the problem, demand function is $Q_d = 146 - 14p$ and supply function is $Q_s = 7 + 16p$.
4. **Adjusting supply for 60% increase:**
New supply quantity at each price is $Q_s^{new} = 1.6 imes Q_s = 1.6(7 + 16p) = 11.2 + 25.6p$.
5. **Finding new equilibrium price:**
Set demand equal to new supply:
$$146 - 14p = 11.2 + 25.6p$$
6. **Solving for $p$:**
$$146 - 11.2 = 25.6p + 14p$$
$$134.8 = 39.6p$$
$$p = \frac{134.8}{39.6} \approx 3.405$$
7. **Interpreting the result:**
The new equilibrium price is approximately RM3.41, which is closest to option C RM3.00.
**Final answer:**
The new equilibrium price is approximately **RM3.00** (Option C).
Equilibrium Price Dc7C66
Step-by-step solutions with LaTeX - clean, fast, and student-friendly.