In 2006, European Union tariff on imported bananas from Latin America was €176 a ton. Suppose 2.5 million tons of bananas were imported in 2006 but then the tariff decreased to €152 a ton in 2007 and as a result, 3 million tons were imported in 2007. What is the tariff revenue in 2007?

Question

Quizplus · Accepted Answer

In 2006, the tariff revenue was €176 * 2.5 million = €440 million. In 2007, the tariff revenue was €152 * 3 million = €456 million. The difference between the two is €456 million - €440 million = €16 million.

In 2006, European Union Tariff on Imported Bananas from Latin