Suppose the price of sugar (a complement to cereal) rises. At the same time, suppose the price of wheat (which is used to make cereal) falls. Given these changes, in the market for cereal you should expect to see: Select one: O a. A decrease in the equilibrium quantity of cereal, but it's hard to say what will happen to the equilibrium price. O b. An increase in the equilibrium quantity of cereal, but it's hard to say what will happen to the equilibrium price. O c. An increase in both the equilibrium price and quantity of cereal. O d. A decrease in both the equilibrium price and quantity of cereal O e. None of these answers are correct. NotesIn one month, Andrea can produce 80 apples or 80 bananas, while Tom can produce 60 apples or 100 bananas. Currently, Andrea is producing 40 apples and 40 bananas per month while Tom is making 30 apples and 50 bananas. If from now on, Andrea starts making nothing but apples and Tom makes nothing but bananas, and the two trade 35 apples for 45 bananas every month, what will be each person's gain from trade? Select one: a. 10 bananas and 10 apples. O b. 15 bananas and 15 apples. O c. 5 bananas and 5 apples. O d. 5 bananas and 10 apples. O e. 10 bananas and 5 apples.Suppose that two brothers, Adam and Ben, share work around the house. In particular, each week they spend one hour cleaning bathrooms and washing the dishes. Suppose it takes Adam 10 minutes to clean a bathroom and 5 minutes to wash a dish, while it takes Ben 15 minutes to clean a bathroom and 15 minutes to wash a dish. From this information, we can conclude that Adam's opportunity cost of washing a dish is : Ben's opportunity cost of washing a dish is _ -; and that . has the comparative advantage in washing dishes and that has the comparative advantage in cleaning bathrooms. Select one: O a. 1 bathroom; 1/2 a bathroom; Ben; Adam O b. 1/2 a bathroom; 1 bathroom; Ben; Adam O c. 1 bathroom; 1/2 a bathroom; Adam; Ben. O d. 1/2 a bathroom; 1 bathroom; Adam; Ben O e. 1 bathroom; 2 bathrooms; Adam; AdamIf the cross-price elasticity of demand between Good A and Good B is > 0, the price of Good B increases, and the price elasticity of demand for Good B is inelastic, we can expect to see a change in the quantity demanded for Good A. Select one: a. positive, zero O b. positive, small O c. negative, infinite O d. negative, one-for-one O e. positive, large NoConsider two labor markets. In the first, the elasticity of supply is relatively elastic, while it is relatively inelastic in the latter. Imposing a minimum wage in each market would result in unemployment in the first market and unemployment in the second. Select one: O a. lower; lower O b. higher, higher O c. unchanged; unchanged O d. lower; higher O e. higher; lower No