Homer and Ted are colleagues who enjoy consuming hotdogs. The demand curves for hotdogs for Homer and Ted are given as follows:Homer: p = 120 - qTed: p = 120 - 4q      If Homer and Ted are the only two consumers of hotdogs the market demand curve is given by:Group of answer choicesp = 240 - 6Q for p < 30p = 120 - 6Q for all values of pp = 150 - 2Q for p < 40p =120 - (4/3)Q for all values of p.p = 120 - (4/5)Q for all values of p.None of above is correct.

The market demand curve is derived by horizontally summing the individual demand curves of all consumers in the market.

Homer's demand curve is p = 120 - q, and Ted's demand curve is p = 120 - 4q.

To find the market demand curve, we need to add Homer's and Ted's quantities demanded (q) at each price level (p).

Let's denote the total quantity demanded in the market as Q. So, Q = q (Homer) + q (Ted).

From Homer's demand curve, we can express his quantity demanded as q (Homer) = 120 - p.

From Ted's demand curve, we can express his quantity demanded as q (Ted) = 30 - 0.25p (by rearranging the equation to make q the subject).

Adding these two equations together gives us the market demand curve:

Q = (120 - p) + (30 - 0.25p) Q = 150 - 1.25p

Rearranging this equation to express p in terms of Q gives us:

p = 120 - (4/5)Q

So, the correct answer is "p = 120 - (4/5)Q for all values of p."

The market demand curve is derived by horizontally summing the individual demand curves of Homer and Ted.

Step 1: Write down the demand equations for Homer and Ted:

Homer: p = 120 - q Ted: p = 120 - 4q

Step 2: Solve each equation for q:

Homer: q = 120 - p Ted: 4q = 120 - p => q = (120 - p)/4

Step 3: Add the two quantities together to get the total quantity demanded (Q):

Q = (120 - p) + (120 - p)/4

Step 4: Simplify the equation:

Q = (5/4)(120 - p)

Step 5: Solve for p to get the market demand curve:

p = 120 - (4/5)Q

So, the correct answer is: p = 120 - (4/5)Q for all values of p.