Figure 5-17
-Refer to Figure 5-17.If,holding the supply curve fixed,there were an increase in demand that caused the equilibrium price to increase from $6 to $7,then sellers' total revenue would
A)increase.
B)decrease.
C)remain unchanged.
D)The effect on total revenue cannot be determined from the given information.

Question

Figure 5-17 
-Refer to Figure 5-17.If,holding the supply curve fixed,there were an increase in demand that caused the equilibrium price to increase from $6 to $7,then sellers' total revenue would
A)increase. 
B)decrease. 
C)remain unchanged. 
D)The effect on total revenue cannot be determined from the given information.

Quizplus · Accepted Answer

An increase in equilibrium price due to an increase in demand results in an increase in total revenue for sellers because they can sell their goods at a higher price while the quantity sold remains constant. Therefore, sellers' total revenue would increase.

Figure 5-17 -Refer to Figure 5-17.If,holding the Supply Curve Fixed,there Were an Fixed,there