Use the Following to Answer Questions

question 165

Multiple Choice

Use the following to answer questions:
Figure: Tax on Consumers of Gadgets
-(Figure: Tax on Consumers of Gadgets) Refer to the figure. What is the amount of the deadweight loss caused by the imposition of the tax on gadgets?

• A) $800
• B) $3,200
• C) $400
• D) $200

---

Definitions:

Secured Party

An individual or entity that holds an interest, typically a security interest, in another's property as collateral for a debt.

Relinquish

To voluntarily give up or surrender a claim, right, or possession.

Security Agreement

A legal document that specifies the collateral for a secured loan, establishing the lender's rights to the secured property.

Rights and Duties

The legal entitlements and obligations that are held by individuals and entities under the law.