The supply and demand for organic peanut butter are Q^D = 70 - 5P and Q^S = 5P, where P is price per jar and Q is in hundreds of jars per day. The government decides to impose either a $1 supply subsidy or a price floor equal to $7.50. The producer surplus associated with the price floor would be _____. (Round your answer to the nearest cent.)

Question

Quizplus · Accepted Answer

The Answer of The supply and demand for organic peanut butter are Q^D = 70 - 5P and Q^S = 5P, where P is price per jar and Q is in hundreds of jars per day. The government decides to impose either a $1 supply subsidy or a price floor equal to $7.50. The producer surplus associated with the price floor would be _____. (Round your answer to the nearest cent.)

The Supply and Demand for Organic Peanut Butter Are QD

The Supply and Demand for Organic Peanut Butter Are Q^D