-The Market for Used Cars Is Shown in the Above

Multiple Choice

-The market for used cars is shown in the above figure.Buyers cannot tell whether any given car is a lemon.Ten percent (10%) of all cars are lemons.Which of the following statements is true?

A) All of the cars sell for $1,900.
B) Only lemons are sold for $1,900.
C) Only lemons are sold for $1,000.
D) Only good cars will be sold for $2,000.