Questions 1-4?

Question Two: Supply and Demand A boat rental company on a lake in Northern Minnesota has the following Supply/Demand Schedule: Quantity Supplied Price Per Hour Quantity Demanded 25 $35 5 20 $30 10 15 $25 15 10 $20 20 5 $15 25 1. What is the Equilibrium Price and Quantity for this Company? Explain 2. Due to some supply shortages, the price of the gasoline used to power the boats has increased so a gallon has increased by $1.20. Will this price change shift the Supply Curve or the Demand Curve or neither? If there is a shift, will it be an increase or decrease? Explain 3. Based on your answer to Question 2, what will happen to the equilibrium price and equilibrium quantity? Explain 4. What impact will the gasoline price change have on competition? Will it increase, decrease, or remain the same? Explain