Use the Figure Below to Answer the Following Questions

question 44

Multiple Choice

Use the figure below to answer the following questions. Figure 6.3.3
-Refer to Figure 6.3.3.Suppose a tax of $1 is imposed.In which market would tax revenue be the highest?

• A)(a)
• B)(b)
• C)(c)
• D)(d)
• E)all markets equally

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Definitions:

Revenue

The total amount of money a business generates from its operations, often from the sales of goods or services before any expenses are subtracted.

Spending Variances

The differences between the budgeted or planned amounts of spending and the actual amounts spent.

Customers Served

The total number of customers who receive service or products from a business within a given time period.

Revenue

The total amount of income generated from the sale of goods or services before any expenses are subtracted.