Fresno County, California is the largest agricultural producing county in the country and almonds are an important crop with more than 99,000 acres harvested. Each acre produces about a ton of almonds and sold at a price of $4300 a ton. The Sagardia Brothers grew 600 acres of almonds. What would happen if the Sagardia Brothers priced their almonds at $4000 a ton?

Question

Quizplus · Accepted Answer

If the Sagardia Brothers price their almonds at $4000 a ton, they will sell the same amount of almonds (since the quantity produced is fixed at 600 tons), but their profits will be lower because they are selling at a lower price per ton.

Fresno County, California Is the Largest Agricultural Producing County in the Country