For a Small Country Called Boxland, the Equation of the Domestic

question 61

Multiple Choice

For a small country called Boxland, the equation of the domestic demand curve for cardboard is
$$Q ^ { D } = 200 - 2 P$$
where $$Q ^ { D }$$ represents the domestic quantity of cardboard demanded, in tons, and represents the price of a ton of cardboard.
For Boxland, the equation of the domestic supply curve for cardboard is
$$Q ^ { S } = - 60 + 3 P$$
where $$Q ^ { S }$$ represents the domestic quantity of cardboard supplied, in tons, and again represents the price of a ton of cardboard.
-Refer to Scenario 9-2.Suppose the world price of cardboard is 45 dollars.Then,if Boxland goes from prohibiting international trade in cardboard to allowing international trade in cardboard,

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Definitions:

Expenses

The costs incurred in the process of generating revenue, such as rent, utilities, and salaries.

Revenues

The income generated from normal business operations and includes discounts and deductions for returned merchandise. It serves as the starting point for determining net income.

Total Liabilities

The cumulative amount of all debts and financial obligations a company owes to outside parties.

Owner's Equity

The residual interest in the assets of a company after deducting liabilities, representing the owner's stake.