Refer to the Table Below to Answer the Following Questions

question 114

Multiple Choice

Refer to the table below to answer the following questions.
Table 7.3.1
Canada's Market for Widgets

-Table 7.3.1 shows the Canadian supply of and demand for widgets.Widgets are available on the world market for $7.Canadian widget producers convince the government to protect the domestic industry from cheap imports.If the Canadian government sets an import quota of 8 million widgets,the resulting price of a widget in Canada will be ________,and domestic production will be ________.

• A)$6;40 million
• B)$7;36 million
• C)$8;32 million
• D)$9;28 million
• E)$10;32 million

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Definitions:

Common Stock

Equity shares representing ownership in a company, giving holders voting rights and a share in the company’s profits through dividends.

Goodwill

An intangible asset that arises when a company acquires another for a price higher than the fair value of its net assets, representing items such as brand reputation or customer loyalty.

Par Value

The nominal value designated by the issuer for a bond or stock, which doesn't reflect its actual market price.

Acquisition

The process by which one company takes over another company, either by purchasing its assets, shares, or both, to assume control.