3) when demand is greater than supply there is a shortage.\n4) the current price for an iphone 13 is $1,000…

3) when demand is greater than supply there is a shortage.\n4) the current price for an iphone 13 is $1,000. at this price, apple supplies 1,000 iphone 13s and consumers demand 800 iphone 13s. in this scenario, would there be a shortage or surplus of iphone 13? **highlight your choice in yellow or change the font color.**\na.) shortage\nb.) surplus\n5) scenario: a company produces 500 face masks at $2 each, but only 200 customers are willing to buy the face masks. the company reduced its price to $1 and only 350 customers are willing to buy. they reduced the price once more to $0.50 and now 500 customers were willing to buy the face masks. what is the equilibrium price of the face mask? **highlight your choice in yellow or change the font color.**\na.) $2\nb.) $1\nc.) $0.50

3) when demand is greater than supply there is a shortage.\n4) the current price for an iphone 13 is $1,000. at this price, apple supplies 1,000 iphone 13s and consumers demand 800 iphone 13s. in this scenario, would there be a shortage or surplus of iphone 13? **highlight your choice in yellow or change the font color.**\na.) shortage\nb.) surplus\n5) scenario: a company produces 500 face masks at $2 each, but only 200 customers are willing to buy the face masks. the company reduced its price to $1 and only 350 customers are willing to buy. they reduced the price once more to $0.50 and now 500 customers were willing to buy the face masks. what is the equilibrium price of the face mask? **highlight your choice in yellow or change the font color.**\na.) $2\nb.) $1\nc.) $0.50

Answer

Explanation:

Step1: Analyze iPhone 13 situation

Supply of iPhone 13 is 1000 and demand is 800. Since supply (1000) > demand (800), there is a surplus.

Step2: Analyze face - mask situation

Equilibrium is when quantity supplied equals quantity demanded. The company produces 500 face - masks and 500 customers are willing to buy at a price of $0.50. So the equilibrium price is $0.50.

Answer:

  1. b.) Surplus
  2. c.) $0.50