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PilotLPTM [1.2K]
3 years ago
10

Each firm can produce at most one car. Suppose the market for electric cars is competitive. Why is the equilibrium price in this

market ​$5050​,000? A. At this​ price, three consumers are willing to buy an electric car and three firms are willing to sell an electric car. B. At this​ price, the quantity demanded​ (three cars) equals the quantity supplied​ (three cars). C. At ​$5050​,000, three consumers have reservation values equal to or above ​$5050​,000 and three firms have reservation values equal to or below ​$5050​,000. D. All of the above.
Business
1 answer:
lisabon 2012 [21]3 years ago
7 0

Answer:

Consumer surplus = (60000 - 40000)+ (90000 - 40000)+(40000 - 40000) = $70000

Producer surplus = (40000 - 20000)+(40000 - 30000)+ (40000 - 40000) = $30000

Social surplus = Consumer surplus +Producer Surplus= 70000 + 30000 = $100000

Consumer surplus = (Willingness to pay – Price)

Producer surplus = ( Price –Cost)

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The field of accounting that focuses on providing information for external decision makers is Managerial accounting. This is further explained below.

<h3>What is Managerial Accounting?</h3>

Generally, Information for external decision-makers is the primary emphasis of managerial accounting. For investment decisions, stockholders rely heavily on management accounting data.

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$511,000 bond issue sold for $483,000. Therefore, the bonds: Multiple Choice Sold for the $511,000 face amount less $28,000 of a
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Answer: Sold at a discount because the market interest rate was higher than the stated rate. S

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the bonds was Sold at a discount because the market interest rate was higher than the stated rate. This is as a result of the bonds issued which were at a discount having its market price way lower than its face value. Bonds tends to be sold at a discount when the market interest rate has exceeded the stated rate of the said bond.

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A country opens up to trade and becomes an exporter of wheat. In the wheat market, domestic consumer surplus will ________, dome
Alik [6]

Answer:

The correct option is increase; decrease; increase

Explanation:

First, we will define the following terms:

  • Consumer surplus
  • Producer surplus
  • Total surplus

<u>Consumer surplus</u> refers to the difference between the price that consumers pay and the price that they are willing to pay. Consumer surplus always increases as the price of a good falls and decreases as the price of a good rises. Therefore, in this scenario, as the country exports wheat, more wheat will be available in the market, leading to a fall in price, thereby leading to an increase in consumer surplus.

<u>Producer surplus</u> refers to the difference between how much a producer would be willing to accept for given quantity of a good against how much they can receive by selling the good at the market price. The difference or surplus amount is the benefit the producer receives for selling the good in the market. When prices rise, producer surplus increases, and when price falls, producer surplus decreases. There a decrease in price spurred by more wheat in the market will lead to a decrease in producer surplus.

<u>Total surplus</u> in a market refers to the measure of the total well-being of all participants in a market. Therefore, with more wheat in the market, there will be a drop in price, and consumers will be able to buy more, leading to more supply. This will lead to an increase in total surplus.

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