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Question 220

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Use the following to answer questions: Use the following to answer questions:   -(Table: Demand for Lenny's Coffee)  Look at the table Demand for Lenny's Coffee. Lenny's Café is the only source of coffee for hundreds of miles in any direction. If Lenny's marginal cost of selling coffee is a constant $2 and the government forces Lenny to charge a price that eliminates deadweight loss, Lenny will charge _____ per cup and sell _____ cups. A)  $0; 10 B)  $2; 8 C)  $4; 6 D)  $5; 5
-(Table: Demand for Lenny's Coffee) Look at the table Demand for Lenny's Coffee. Lenny's Café is the only source of coffee for hundreds of miles in any direction. If Lenny's marginal cost of selling coffee is a constant $2 and the government forces Lenny to charge a price that eliminates deadweight loss, Lenny will charge _____ per cup and sell _____ cups.


A) $0; 10
B) $2; 8
C) $4; 6
D) $5; 5

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