A model for consumers' response to advertising is given by the equation N(a)=2000+500 ln (a) Where N(a) is the number of units sold, a is the amount spent on advertising, in thousands of dollars, & a≥1.

How many units are sold when $1000 is spent on advertising?

Therefore 2000 units are sold when $1000 is spent on advertising.

Step-by-step explanation:

Given that,

The equation of a model for consumer's response to advertising is

N(a)=2000+500 ln(a)

where a is the amount spent on advertising, in thousand of dollars and a≥1,N(a) is the amount of units sold.

$1000 is spent on advertising.

Since a is in thousand of dollars.

∴a=1

Now plug a=1 in the given model

N(a)=2000+500 ln(1)

⇒N(a)=2000+500×0       [ ∵ln(1)=0 ]

⇒N(a) = 2000

Therefore 2000 units are sold when $1000 is spent on advertising.

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