Use the Following to Answer Questions -(Table: Demand for Crude Oil)Use Table: Demand for Crude Oil

question 105

Multiple Choice

Use the following to answer questions : $$\begin{array}{l}\text { Table: Demand for Crude Oil }\\\begin{array} { c c c } \text { Quantity } & \begin{array} { c } \text { Price } \\\text { (\$/barrel) }\end{array} & \begin{array} { c } \text { Total } \\\text { Revenue (\$) }\end{array} \\\hline 0 & \$ 160 & \$ 0 \\10 & 150 & 1500 \\20 & 140 & 2800 \\30 & 130 & 3900 \\40 & 120 & 4800 \\50 & 110 & 5500 \\60 & 100 & 6000 \\70 & 90 & 6300 \\80 & 80 & 6400 \\90 & 70 & 6300 \\100 & 60 & 6000 \\110 & 50 & 5500 \\120 & 40 & 4800 \\130 & 30 & 3900 \\140 & 20 & 2800 \\150 & 10 & 1500 \\160 & 0 & 0\end{array}\end{array}$$
-(Table: Demand for Crude Oil) Use Table: Demand for Crude Oil.Assume that the crude oil industry is a duopoly and the marginal and fixed costs of producing crude oil equal zero.Suppose that the two firms are maximizing industry profit and splitting the profit evenly.If firm 1 decides to cheat and increase production by 10 more barrels and firm 2 continues to produce 40 barrels,firm 2 will earn profits of:

• A) $6 400.
• B) $6 300.
• C) $3 500.
• D) $2 800.

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Definitions:

Tube-fed

The delivery of nutrition directly to the stomach or intestine via a tube, used when an individual is unable to eat by mouth.

Botulism Immune Globulin

An intravenous medication used to treat infant botulism, containing antibodies against the toxin produced by Clostridium botulinum.

Total Parenteral Nutrition

A method of feeding that bypasses the gastrointestinal tract, delivering nutrients directly into the bloodstream.

Botulism

A rare but serious illness caused by botulinum toxin, which can lead to paralysis and is often foodborne.