-Refer to the Above Figure

question 142

Multiple Choice

-Refer to the above figure. A shortage occurs if the government imposes

• A) a price floor at $60.
• B) a price floor at $20.
• C) a price ceiling at $60.
• D) a price ceiling at $20.

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Definitions:

Oral Agreement

An oral agreement is a contract whose terms have been agreed upon by speaking rather than in writing, which can be legally binding, depending on the context and jurisdiction.

Consideration

The value (such as money, services, or goods) that is promised to be transferred in a contract, creating a binding obligation.

Merchant Customer

A consumer who has a commercial relationship with a business or merchant, typically involving the purchase of goods or services.

Dispatch

The act of sending something or someone to a specific destination or for a certain purpose.