Suppose Musashi is the only seller in the market for bottled water and Jacques is the only buyer. The following lists show the value Jacques places on a bottle of water and the cost Musashi incurs to produce each bottle of water:

	Jacques's Value
Value of first bottle:	$7
Value of second bottle:	$5
Value of third bottle:	$3
Value of fourth bottle:	$1

	Musashi's Costs
Cost of first bottle:	$1
Cost of second bottle:	$3
Cost of third bottle:	$5
Cost of fourth bottle:	$7

The following table shows their respective supply and demand schedules:

Price	Quantity Supplied	Quantity Demanded
More than $7	4	0
$5 to $7	3	1
$3 to $5	2	2
$1 to $3	1	3
$1 or less	0	4

Use Musashi's supply schedule and Jacques's demand schedule to find the quantity supplied and quantity demanded at prices of $2, $4, and $6. Enter these values in the following table.

Price	Quantity Supplied	Quantity Demanded
2
4
6

A price of brings supply and demand into equilibrium.

At the equilibrium price, consumer surplus is ?

, producer surplus is ?

, and total surplus is ?

.

If Musashi produced and Jacques consumed one less bottle of water, total surplus would . ? fall or rise

If instead, Musashi produced and Jacques consumed one additional bottle of water, total surplus would . ? rise or fall