According to Figure 13-7 above,when the price for Red Baron frozen cheese pizzas is $8 per pizza,how many pizzas will it sell?
A)1,000,000
B)2,000,000
C)2,500,000
D)3,000,000
E)4,000,000

Question

Quizplus · Accepted Answer

When the price for Red Baron frozen cheese pizzas is $8 per pizza, it will sell 2,000,000 pizzas. This is because the demand curve for Red Baron frozen cheese pizzas is downward sloping, which means that as the price of the pizzas increases, the quantity demanded will decrease. At a price of $8 per pizza, the quantity demanded is 2,000,000 pizzas.

According to Figure 13-7 Above,when the Price for Red Baron