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Demand for Umbrellas Price Supply of Umbrellas Surplus (+) or Shortage (-) 90 $5

ID: 1202094 • Letter: D

Question

Demand for Umbrellas

Price

Supply of Umbrellas

Surplus (+) or Shortage (-)

90

$5

0

80

$10

20

70

$15

40

60

$20

60

50

$25

80

40

$30

100


Use the information in the table to fill in the blanks.


a. At a price of $5, there is a (shortage, surplus)  of  units.
b. At a price of $10, there is a (shortage, surplus)  of  units.
c. At a price of $15, there is a (shortage, surplus)  of  units.

Demand for Umbrellas

Price

Supply of Umbrellas

Surplus (+) or Shortage (-)

90

$5

0

80

$10

20

70

$15

40

60

$20

60

50

$25

80

40

$30

100

Explanation / Answer

Ans.(a)

At a price of $5, there is a shortage of 90 units. (90 - 0)

Ans.(b)

At a price of $10, there is a shortage of 60 units. (80 - 20).

Ans.(c)

At a price of $15, there is a shortage of 30 units. (70 - 40).

Demand for Umbrellas Price Supply of Umbrellas Surplus (+) or Shortage (-) 90 $5 0 -90 80 $10 20 -60 70 $15 40 -30 60 $20 60 0 50 $25 80 30 40 $30 100 60
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