The following graph shows the demand and supply curves of a resource. The total resource earnings in equilibrium equal _____. Figure 11.3

A)$12
B)$10
C)$720
D)$1,000
E)$1,200

Question

​The following graph shows the demand and supply curves of a resource. The total resource earnings in equilibrium equal _____. Figure 11.3

A)$12 
B)$10 
C)$720 
D)$1,000 
E)$1,200

Quizplus · Accepted Answer

The equilibrium point is where the demand and supply curves intersect. At this point, the quantity of the resource supplied and demanded is 20 units, and the price per unit is $50. Therefore, the total resource earnings in equilibrium is 20 x $50 = $1,000.

​The Following Graph Shows the Demand and Supply Curves of a Resource

The Following Graph Shows the Demand and Supply Curves of a Resource