Figure 9-5 -Refer to Figure 9-5. the Change in Total Surplus in Total

question 12

Multiple Choice

Figure 9-5
-Refer to Figure 9-5. The change in total surplus in this market because of trade is

• A)A, and this area represents a loss of total surplus.
• B)B, and this area represents a gain in total surplus.
• C)C, and this area represents a loss of total surplus.
• D)D, and this area represents a gain in total surplus.

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Definitions:

LLC

Limited Liability Company; a business structure allowing owners to benefit from the advantages of both the corporation and partnership forms of business.

General Partner's Liability

describes the legal responsibility of general partners in a partnership to bear unlimited personal liability for the debts and obligations of the partnership.

Limited Partnership

A business arrangement with at least one general partner managing the business and responsible for its debts, and one or more limited partners whose liability is restricted to their investment.

Transferable Interest

An interest in an entity, such as a partnership, that can be transferred or sold from one party to another.