### Market Demand for Oranges: Understanding Consumer Behavior at Different Price PointsSuppose that at a price of 25 cents per orange, 300 consumers each demand 2 oranges, and at a price of 20 cents per orange, 400 consumers each demand 4 oranges. Therefore, the market demand for oranges is _______ at a price of 25 cents per orange and _______ at a price of 20 cents per orange.#### Multiple Choice1. **300; 400**2. **1,200; 3,200**3. **600; 1,600**4. **2; 4**---#### ExplanationTo determine the total market demand at the given prices, you need to calculate the total number of oranges demanded by all consumers at each price point.- **At 25 cents per orange:** - Number of consumers: 300 - Oranges demanded per consumer: 2 oranges - Total market demand: $ 300 \text{ consumers} \times 2 \text{ oranges/consumer} = 600 \text{ oranges} $- **At 20 cents per orange:** - Number of consumers: 400 - Oranges demanded per consumer: 4 oranges - Total market demand: $ 400 \text{ consumers} \times 4 \text{ oranges/consumer} = 1,600 \text{ oranges} $Therefore, the correct answer is:- **600 at a price of 25 cents per orange**- **1,600 at a price of 20 cents per orange**By selecting the correct option: - **600; 1,600**

For a price of 25 cent per orange:Number of consumers=300Demand by each consumer=2 orangesFor a…

Suppose that at a price of 25 cents per orange, 300 consumers each demand 2 oranges, and at a price of 20 cents at a per orange, 400 consumers each demand 4 oranges. Therefore, the market demand for oranges is at a price of 20 cents per orange. price of 25 cents per orange and Multiple Choice 300; 400 1,200; 3,200 600; 1,600 2; 4

Suppose that at a price of 25 cents per orange, 300 consumers each demand 2 oranges, and at a price of 20 cents at a per orange, 400 consumers each demand 4 oranges. Therefore, the market demand for oranges is at a price of 20 cents per orange. price of 25 cents per orange and Multiple Choice 300; 400 1,200; 3,200 600; 1,600 2; 4

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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