Table 4-5

-Refer to Table 4-5. If the four suppliers listed are the only suppliers in this market and the market quantity demanded is 600 cases when the price is $4.00, which of the following statements is correct?
A)The market is in equilibrium at a price of $4.00.
B)There is a shortage of 200 cases at a price of $4.00.
C)There is a surplus of 200 cases at a price of $4.00.
D)There is a shortage of 230 cases at a price of $4.00.

Question

Table 4-5
 
-Refer to Table 4-5. If the four suppliers listed are the only suppliers in this market and the market quantity demanded is 600 cases when the price is $4.00, which of the following statements is correct?
A)The market is in equilibrium at a price of $4.00. 
B)There is a shortage of 200 cases at a price of $4.00. 
C)There is a surplus of 200 cases at a price of $4.00. 
D)There is a shortage of 230 cases at a price of $4.00.

Quizplus · Accepted Answer

The market is in equilibrium when the quantity supplied equals the quantity demanded. If the total quantity supplied by the four suppliers at $4.00 matches the market quantity demanded of 600 cases, then the market is in equilibrium at that price.

Table 4-5 -Refer to Table 4-5. If the Four Suppliers Listed Are