Use the Figure Below to Answer the Following Question(s)

question 101

Multiple Choice

Use the figure below to answer the following question(s) . Figure 4-7
Refer to Figure 4-7. The supply curve S₁ and the demand curve D indicate initial conditions in the market for gasoline. A $.60-per-gallon excise tax on gasoline is levied. How much revenue does the $.60-per-gallon tax generate for the government?

• A) $40 billion
• B) $48 billion
• C) $50 billion
• D) $60 billion

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Definitions:

Negotiable Promissory Note

A written, legally-binding promise to pay a specified sum of money either on-demand or at a set time, which can be transferred to others.

Appears Valid

Describes something that seems to be legally sound, legitimate, or credible, but has not been proven or confirmed.

Altered Check

A check on which information has been modified or forged, such as the payee's name or the amount, without the account holder's authorization.