Figure 8-7 the Vertical Distance Between Points a and B Represents a Represents

Multiple Choice

Figure 8-7
The vertical distance between points A and B represents a tax in the market.

-Refer to Figure 8-7.Which of the following statements is correct?

A) Total surplus before the tax is imposed is $250.
B) After the tax is imposed, consumer surplus is 45 percent of its pre-tax value.
C) After the tax is imposed, producer surplus is 45 percent of its pre-tax value.
D) All of the above are correct.