Draw Supply and Demand Curves for a Product Showing the Equilibrium

question 12

Essay

Draw supply and demand curves for a product showing the equilibrium price and quantity.Illustrate what would happen if all the transaction costs in the market for the product were reduced.Generally,what is the impact of transaction costs on market operations?

---

Definitions:

Note Payable

A financial obligation or loan evidenced by a promissory note, specifying terms such as the repayment schedule, interest, and maturity date.

Accounts Payable

Liabilities or amounts owed by a company to its creditors for goods and services received that have not yet been paid for.

Journal Entry

A record in bookkeeping that documents every financial transaction, detailing the accounts affected and whether they are debited or credited.

Interest-Bearing Note

A debt instrument that pays interest to the holder, typically at a fixed rate, until the note reaches its maturity date.