question the graph below represents the fertilizer market. calculate the surplus caused by the price floor.

question the graph below represents the fertilizer market. calculate the surplus caused by the price floor.

question the graph below represents the fertilizer market. calculate the surplus caused by the price floor.

Answer

Explanation:

Step1: Recall the formula for surplus

Surplus = Quantity Supplied - Quantity Demanded

Step2: Identify values from the graph

Quantity Supplied (QS) = 480, Quantity Demanded (QD)=114

Step3: Calculate the surplus

Surplus = 480 - 114 = 366

Answer:

366