Exhibit 4-13 -Refer to the Exhibit.The Horizontal Line, P, Represents a Price

Multiple Choice

Exhibit 4-13

-Refer to the exhibit.The horizontal line, P, represents a price ceiling imposed by the government.Which statement best describes what is happening in this market?  

A)  In equilibrium, the quantity demanded is 800 units. 
B)  The quantity demanded at the price ceiling will equal the quantity supplied. 
C)  The equilibrium price would be $1 per unit without the price ceiling. 
D)  The quantity supplied at the price ceiling will equal the quantity sold.