Exhibit 3-5 Supply for Tucker's Cola Data
Quantity supplied per week(millions of gallons)
Price pergallon
6
$3.00
5
2.50
4
2.00
3
1.50
2
1.00
1
.50
In reference to Exhibit 3-5, assume the price of Tucker's Cola is $1.00 per gallon. If the price were to rise to $3.00 per gallon, and all other factors, such as taxes, etc. remained constant, the result would be a(n):
A. decrease in supply.
B. increase in supply.
C. decrease in quantity supplied.
D. increase in quantity supplied.
Answer: D
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