PART I. TRUE OR FALSE Directions: Write TRUE if the statement is correct and FALSE if tincorrect. Write your answer on the space provided for each number. 1. The equilibrium point is the level where the demand and supply curves intersect. 2. If the price is above the equilibrium level, the quantity demanded is greater than the quantity supplied. 3. If the price is below the equilibrium point, the quantity demanded is lesser than the quantity supplied. 4. _The law of demand applies during online sales of computers when consumers rush to buy products at 30% discounts. 5 . The law of supply applies when the producers supply more masks at a higher price; selling at higher quantity at a higher price increases revenue. 6. If the price is below the equilibrium level, then the quantity demanded will exceed the quantity supplied. 7. Shortage will exist if the price is below the equilibrium point 8. The law of supply and demand explains the interaction between the sellers of a product and the buyers. 9 . _The demand curve is always downward sloping due to the law of diminishing marginal utility. 10. The supply curve shows an upward slope. PART II Make Meaning Internet Assisted Activity Directions: Give the meaning of the following words/ phrases. You may use the internet to substantiate your ideas. Price Elasticity Price Elasticity of Demand Price Elasticity of Supply