Table 3-2
Cashews
Price per lb.
(dollars) Jordy’s
Quantity Demanded (lbs) Amy’s
Quantity Demanded (lbs) Rest of Market
Quantity
Demanded (lbs) Market
Quantity Demanded (lbs)
$10 1 1 50
8 2 3 70
6 3 5 95
4 5 9 128
2 8 14 156
59) Refer to Table 3-2. The table above shows the demand schedules for cashews of two
individuals (Jordy and Amy) and the rest of the market. At a price of $6, the quantity
demanded in the market would be
A) 87 lbs.
B) 95 lbs.
C) 103 lbs
D) 215 lbs.
Answer: C
Diff: 2 Page Ref: 71/71
Topic: Demand Schedules
*: Recurring
Learning Outcome: Micro-4: Explain how supply and demand function in competitive
markets
AACSB: Analytic thinking
60) Refer to Table 3-2. The table above shows the demand schedules for cashews of two
individuals (Jordy and Amy) and the rest of the market. At a price of $10, the quantity
demanded in the market would be
A) 2 lbs.
B) 48 lbs.
C) 50 lbs
D) 52 lbs.
Answer: D
Diff: 2 Page Ref: 71/71
Topic: Demand Schedules
*: Recurring
Learning Outcome: Micro-4: Explain how supply and demand function in competitive
markets
AACSB: Analytic thinking
61) Refer to Table 3-2. The table above shows the demand schedules for cashews of two
individuals (Jordy and Amy) and the rest of the market. If the price of cashews rises from
$4 to $6, the market quantity demanded would
A) decrease by 33 lbs.
B) increase by 39 lbs.
C) increase by 33 lbs.
D) decrease by 39 lbs.
Answer: D
Diff: 2 Page Ref: 71/71
Topic: Demand Schedules
*: Recurring
Learning Outcome: Micro-4: Explain how supply and demand function in competitive
markets
AACSB: Analytic thinking
62) Refer to Table 3-2. The table above shows the demand schedules for cashews of two
individuals (Jordy and Amy) and the rest of the market. If the price of cashews falls from
$4 to $2, the market quantity demanded would
A) decrease by 28 lbs.
B) increase by 36 lbs.
C) increase by 28 lbs.
D) decrease by 36 lbs.
Answer: B
Diff: 2 Page Ref: 71/71
Topic: Demand Schedules
*: Recurring
Learning Outcome: Micro-4: Explain how supply and demand function in competitive
markets
AACSB: Analytic thinking
63) When the price of a good rises, consumers buy a smaller quantity because of the
________ effect and the ________ effect.
A) substitution; income
B) normal; inferior
C) substitute; complement;
D) supply; demand
Answer: A
Diff: 1 Page Ref: 71/71
Topic: Substitution Effect
*: Recurring
Learning Outcome: Micro-4: Explain how supply and demand function in competitive
markets
AACSB: Analytic thinking
64) If the price of prime rib falls, the income effect due to the price change will cause
A) an increase in the demand for prime rib.
B) an increase in the demand for flank steak, a substitute for prime rib.
