B$)10$

C$)15$

D$)20$

E$)$ none of the above

Refer to Scenario $2\mathrm{.}1.$ What is the equilibrium quantity of books sold?

A$)25$

B$)50$

C$)75$

D$)100$

E$)$ none of the above

Refer to Scenario $2\mathrm{.}1.$ If $P=$$$15,$ which of the following is true?

A$)$ There is a surplus equal to $30.$

B$)$ There is a shortage equal to $30.$

C$)$ There is a surplus, but it is impossible to determine how large.

D$)$ There is a shortage, but it is impossible to determine how large

Refer to Scenario $2\mathrm{.}1.$ If $P=$$$15,$ which of the following is true?

A$)$ Quantity supplied is greater than quantity demanded.

B$)$ Quantity supplied is less than quantity demanded.

C$)$ Quantity supplied equals quantity demanded.

D$)$ There is a surplus.

Refer to Scenario $2\mathrm{.}1.$ If $P=$$$25,$ which of the following is true?

A$)$ There is a surplus equal to $30.$

B$)$ There is a shortage equal to $30.$

C$)$ There is a shortage, but it is impossible to determine how large.

D$)$ There is a surplus, but it is impossible to determine how large.

Indifference curves are convex to the origin because of:

A$)$ transitivity of consumer preferences.

the assumption of a diminishing marginal rate of substitution.

the assumption that more is preferred to less.

D$)$ the assumption of completeness.

E$)$ none of the above

Bill currently uses his entire budget to purchase $5$ cans of Pepsi and $3$ hamburgers per week. The price of Pepsi is $ per can, the price of a hamburger is $$2,$ Bill's marginal utility from Pepsi is $4,$ and his marginal utility from hamburgers $6.$ Bill could increase his utility by:

A$)$ increasing Pepsi consumption and reducing hamburger consumption

B$)$ increasing hamburger consumption and reducing Pepsi consumption.

C$)$ maintaining his current consumption choices.

D$)$ We do not have enough information to answer this question

An individual consumes only two goods, $x$ and $Y.$ Which of the following expressions represents the utility maximizing market basket?

A$)$ MRSxy is at a maximum.

B$)P\frac{x}{P}y=$ money income

C$)MRSxy=$ money income.

D$)MRSxy=P\frac{x}{P}y.$

E$)$ all of the above