Exhibit 6-7
-Refer to Exhibit 6-7. Which of the following statements is false?
A)If market price is $20 and output is 6 units, producer surplus is -$7.
B)If market price is $10, producer surplus is the same whether output is zero or 1 unit.
C)If market price is $20 and 5 units are produced, producer surplus will increase if production is decreased one unit.
D)If market price is $16, producer surplus is the same when 3 units are produced as when 2 units are produced.
E)If market price is $17 and 4 units are produced, producer surplus will increase if production is decreased by 1 unit.

Question

Exhibit 6-7 
-Refer to Exhibit 6-7. Which of the following statements is false?
A)If market price is $20 and output is 6 units, producer surplus is -$7. 
B)If market price is $10, producer surplus is the same whether output is zero or 1 unit. 
C)If market price is $20 and 5 units are produced, producer surplus will increase if production is decreased one unit. 
D)If market price is $16, producer surplus is the same when 3 units are produced as when 2 units are produced. 
E)If market price is $17 and 4 units are produced, producer surplus will increase if production is decreased by 1 unit.

Quizplus · Accepted Answer

The Answer of Exhibit 6-7 
-Refer to Exhibit 6-7. Which of the following statements is false?
A)If market price is $20 and output is 6 units, producer surplus is -$7. 
B)If market price is $10, producer surplus is the same whether output is zero or 1 unit. 
C)If market price is $20 and 5 units are produced, producer surplus will increase if production is decreased one unit. 
D)If market price is $16, producer surplus is the same when 3 units are produced as when 2 units are produced. 
E)If market price is $17 and 4 units are produced, producer surplus will increase if production is decreased by 1 unit.

Exhibit 6-7 -Refer to Exhibit 6-7. Which of the Following Statements Is