Suppose When the Price of Coffee Beans Goes from $1

question 92

Multiple Choice

Suppose when the price of coffee beans goes from $1 to $1.20 per pound, production increases from 90 million pounds of coffee beans to 110 million pounds per year. Using the mid-point method, what is the percentage change in quantity supplied?

• A) 20 percent
• B) 18 percent
• C) 60 percent
• D) 6 percent