Exhibit 4.7 -In the Exhibit Given Below, a Price Floor Set at Price

Multiple Choice

Exhibit 4.7

-In the Exhibit given below, a price floor set at $20.00 will _____

A) reduce the equilibrium quantity.
B) lead to a surplus of 10 units.
C) increase the equilibrium price.
D) lead to a surplus of 20 units.
E) have no impact on the equilibrium price and quantity.