Figure: The Market for Lattes
(Figure: The Market for Lattes) Look at the figure The Market for Lattes.If the government assesses a tax of $0.75 on each latte, the price the consumer pays for a latte after the tax will:
A.increase from $2 to $2.75.
B.increase from $2 to $2.50.
C.increase from $2 to $2.25.
D.change, but we cannot determine by how much.

Question

Figure: The Market for Lattes
  (Figure: The Market for Lattes) Look at the figure The Market for Lattes.If the government assesses a tax of $0.75 on each latte, the price the consumer pays for a latte after the tax will: 
A.increase from $2 to $2.75.
B.increase from $2 to $2.50.
C.increase from $2 to $2.25.
D.change, but we cannot determine by how much.

Quizplus · Accepted Answer

The Answer of Figure: The Market for Lattes
  (Figure: The Market for Lattes) Look at the figure The Market for Lattes.If the government assesses a tax of $0.75 on each latte, the price the consumer pays for a latte after the tax will: 
A.increase from $2 to $2.75.
B.increase from $2 to $2.50.
C.increase from $2 to $2.25.
D.change, but we cannot determine by how much.

Figure: the Market for Lattes