After a Price Floor of $23 Is Placed on the Market

question 119

Multiple Choice

After a price floor of $23 is placed on the market in the graph shown, the total number of units traded:

• A) falls by 20 relative to equilibrium.
• B) falls by 27 relative to equilibrium.
• C) falls by 37 relative to equilibrium.
• D) increases by 10 relative to equilibrium.

---

Definitions:

Credentialed Public Accountant

A licensed accounting professional who has met certain education and experience requirements and passed a qualifying exam.

Professional Accountant

An individual who is certified to practice accounting and is held to a set of standards by a regulatory body.