Table 7-4
for Each of the Three Potential Buyers of Apples

question 62

Multiple Choice

Table 7-4
For each of the three potential buyers of apples, the table displays the willingness to pay for Bob, Sasha, and Eric, who are the only three buyers of apples. Assume that only three apples can be supplied per day.
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$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\text {Willingness to Pay}$
$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\text {(Dollars) }$
$\begin{array}{|c|c|c|c|} \hline& \text { First Apple } & \text { Second Apple } & \text { Third Apple } \\\hline \text { Bob } & 2.00 & 1.50 & 0.75 \\\hline \text { Sasha } & 1.50 & 1.00 & 0.60 \\\hline \text { Eric } & 0.75 & 0.25 & 0.00 \\\hline\end{array}$

-Refer to Table 7-4. The market quantity of apples demanded per day is exactly seven if the price of an orange, P, satisfies

• A)$0.60 < P < $0.75.
• B)$0.60 < P < $2.00.
• C)$0.25 < P < $0.75.
• D)$0.25 < P < $0.60.

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Definitions:

Commission

A fee paid to an agent or employee for transacting a sale, which is typically a percentage of the sale price.

Accrued Interest

Interest that has accumulated over a certain period but has not yet been paid or received.

Interest Rate

The percentage of a sum of money charged for its use, determining the cost of borrowing or the return on savings.

Unrealized Profits

Earnings that are reported on paper from investments but are not yet actualized through a sale transaction.