Consider the following graph which shows the market for cigarettes. Use the given information to answer questions 23 - 31. Price (dollars per pack) $5.50 4.50 .. . ._ 4.25 ., L 0 18 2 Quantity Question 23 1.5 pts Is the tax levied on buyers or sellers? [56'6\"] V Question 24 2 pts How much is the sales tax per pack of cigarettes? Answer: The sales tax per pack of cigarettes = $____________ Question 25 2 pts Calculate the DWL. (Don't forget to multiply 0.5 to calculate the area of a triangle.) Answer: The DWL = $_____________ Question 26 2 pts Calculate the total tax revenue. Answer: The total tax revenue =$_____________ 'r' k._) k') Question 27 1 pts How much is the decrease in CS and PS combined due to the tax? Answer: The decrease in CS and PS combined =$_____________ Question 28 1.5 pts Calculate the tax burden on buyers per pack of cigarettes. Answer: The tax burden on buyers per pack of cigarettes =$_____________ Question 29 1.5 pts Calculate the tax burden on sellers per pack of cigarettes. Answer: The tax burden on sellers per pack of cigarettes =$_____________ LJ LJ Question 30 2 pts Explain why buyers bear greater tax burden than the sellers do. 0 Compared with the elasticity of supply of cigarettes, the demand for cigarettes is very inelastic. O The sales tax increases the equilibrium quantity. 0 The supply of cigarettes is perfectly inelastic. Q The sales tax causes no tax burden on sellers. Question 31 4 pts Suppose the sales tax per pack increases. la) Will DWL increase or decrease? [56'6\"] v (b) Will total tax revenue increase or decrease? [56'3\"] V increase decrease _ Total tax revenue may increase or decrease)