Scribd Logo
Upload

Welcome to Scribd!

  • 6 views

    Week 4 Equilibrium

    Uploaded by

    Harley Manese
    The document contains a graph showing the demand and supply curves for rice produced by ABC Company. It finds that the equilibrium price is 800 pesos per sack, with demand and supply both equal to 60,000 sacks per month. It further notes that at a price of 400 pesos there would be a shortage, as demand of 100,000 sacks exceeds supply of 20,000 sacks. In contrast, at a price of 1000 pesos there would be a surplus as supply of 80,000 sacks is greater than demand of 40,000 sacks.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Flag for inappropriate content

    You might also like

    Week 4 Equilibrium

    Uploaded by

    Harley Manese
    6 views1 page
    The document contains a graph showing the demand and supply curves for rice produced by ABC Company. It finds that the equilibrium price is 800 pesos per sack, with demand and supply both equal to 60,000 sacks per month. It further notes that at a price of 400 pesos there would be a shortage, as demand of 100,000 sacks exceeds supply of 20,000 sacks. In contrast, at a price of 1000 pesos there would be a surplus as supply of 80,000 sacks is greater than demand of 40,000 sacks.

    Original Description:

    Original Title

    week-4-equilibrium

    Copyright

    © © All Rights Reserved

    Available Formats

    DOCX, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    Report this Document
    The document contains a graph showing the demand and supply curves for rice produced by ABC Company. It finds that the equilibrium price is 800 pesos per sack, with demand and supply both equal to 60,000 sacks per month. It further notes that at a price of 400 pesos there would be a shortage, as demand of 100,000 sacks exceeds supply of 20,000 sacks. In contrast, at a price of 1000 pesos there would be a surplus as supply of 80,000 sacks is greater than demand of 40,000 sacks.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as docx, pdf, or txt
    6 views1 page

    Week 4 Equilibrium

    Uploaded by

    Harley Manese
    The document contains a graph showing the demand and supply curves for rice produced by ABC Company. It finds that the equilibrium price is 800 pesos per sack, with demand and supply both equal to 60,000 sacks per month. It further notes that at a price of 400 pesos there would be a shortage, as demand of 100,000 sacks exceeds supply of 20,000 sacks. In contrast, at a price of 1000 pesos there would be a surplus as supply of 80,000 sacks is greater than demand of 40,000 sacks.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as docx, pdf, or txt
    of 1

    1.

    Draw in one graph the demand and supply curves for the sack of rice produced by ABC
    Company.

    2. What is the equilibrium price? At this price, what is the number of sack of rice demanded and
    supplied per month? Explain your answer.
    - The equilibrium price is 800, and the number of sack of rice demand and supply is 60000 per
    month. As you can see in the chart, the 2 lines meet in 800 and 60000.
    3. At P400 price per sack what will be the demand and supply of rice produced by ABC Company?
    Will there be a surplus or shortage of supply? Explain your answer.
    - At the price of P400 the supply of rice produced by ABC company is 20000, while the
    demand is 100,000.
    There will be shortage of supply since the demand is higher than the supply of sack of rice.
    4. At P1000 price per sack what will be the demand and supply of rice? Will there be a surplus or
    shortage of supply? Explain your answer.
    - If the price per sack is 1000 the demand will be 40,000 and the supply is 80,000. Since the
    supply is higher than in demand, there will be surplus.

    You might also like