Exhibit 3-1 -Consider the Market Represented by the Schedule in Exhibit 3-1

Multiple Choice

Exhibit 3-1
-Consider the market represented by the schedule in Exhibit 3-1. At equilibrium,

A) there is a surplus of 500 units.
B) there is a shortage of 500 units.
C) the market price is $4 per unit.
D) the market price is $1 per unit and the quantity traded is 100 units.
E) 500 units are traded at a price of $3 per unit.