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Use the schedule to answer the follow-ing questions: (a) At what price and quantity ...

Use the schedule to answer the follow-ing questions:
Price per annum Quantity Demanded Quantity Supplied per week
5 500 60
6 400 150
7 300 300
8 250 400
9 150 500
10 50 600



(a) At what price and quantity does the market attain equilibrium and why?
(b) At what prices does the market exhibit excess demand and by how many units?
(c) At what prices does the market exhibit excess supply and by how many units?
(d) At what price will the supplier be willing to sell most? What quantity will he be willing to sell at that
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    Correct Answer: Option n
    Explanation:
    (a) Equilibrium price N7
    Equilibrium quantity 300 Units
    Because at that price quantity demanded is equal to quantity supplied
    (b) Excess demand arises at prices N5 and N6
    At N5 = 500, 60 = 440 units

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