Supply Curve and Price Changes

The amount of money producers receive when they sell a good or service is called what?

• Cost

• Price

• Profit

• Income

The amount paid by the producer in order to have the product ready for the market

• Cost

• Price

• Profit

• Income

At $3, what will be Simon's quantity of hand sanitiser supplied?

• 70 bottles

• 7000 bottles

• 60 000 bottles

• 60 bottles

At what price would Simon be willing and able to supply 10500 bottles per year of hand sanitiser?

• $5

• $4.50

• $4

• He wont be willing or able to supply that much

If the price of hand sanitiser increases from $1.50 to $2.50, what will happen to Simon's quantity of hand sanitiser supplied?

• Supply will increase

• Supply will decrease

• Quantity supplied will increase

• Quantity supplied will decrease

If the price of hand santisier decreases from $3.00 to $2.00 what will happen to Simon's quantity of hand sanitiser supplied?

• Supply will increase

• Supply will decrease

• Quantity supplied will increase

• Quantity supplied will decrease

The difference between revenue and cost is called what?

• Revenue

• Income

• Profit margin

• Cost

How do you calculate revenue?

• Cost x quantity

• Revenue - cost

• Income x quantity

• Price received x quantity sold

How much revenue does Simon receive at a price of $2?

• 2 x 50 = $100

• 2 x 5000 = $10 000

• 20 x 50 = $1000

• 2 x 500 = $1000

Which of the following would not be considered a cost of production?

• Wages

• Raw materials

• Electricity

• Price