Use the Table Below to Answer the Following Questions

question 91

Multiple Choice

Use the table below to answer the following questions.
Price dollars per unit)
Table 3.4.1
Quantity Demanded
Quantity Supplied units)
-Refer to Table 3.4.1.At a price of $3 a unit

• A)the market is in equilibrium.
• B)there is a 180- unit shortage and a tendency for the price to fall.
• C)there is a 180- unit shortage and a tendency for the price to rise.
• D)there is a 180- unit surplus and a tendency for the price to fall.
• E)there is a 420- unit shortage and a tendency for the price to rise.

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Definitions:

Average Tax Rate

The ratio of total taxes paid to total income, representing the percentage of income paid in taxes.

Capital Gains

The profit earned from the sale of an asset that has increased in value over the holding period, subject to taxation.

Non-Eligible Dividends

Dividends paid from income that has not been taxed at the corporate level, often subject to a different tax rate on the recipient's end.

Operating Cash Flow

Cash generated by a company's normal business operations, indicating its ability to generate enough cash to maintain or expand operations.