Use the following to answer questions:
Figure: Tax Imposed on Sellers
-(Figure: Tax Imposed on Sellers) According to the figure, the equilibrium price and quantity before the $1 tax is imposed are:
A) $5 and 800.
B) $4.40 and 900.
C) $4 and 1,000.
D) $3.40 and 900

Question

Use the following to answer questions:
Figure: Tax Imposed on Sellers 
-(Figure: Tax Imposed on Sellers) According to the figure, the equilibrium price and quantity before the $1 tax is imposed are:
A) $5 and 800. 
B) $4.40 and 900. 
C) $4 and 1,000. 
D) $3.40 and 900

Quizplus · Accepted Answer

Before the tax is imposed, the equilibrium price is $4 and the equilibrium quantity is 1,000.

Use the Following to Answer Questions