Figure 8-10 -Refer to Figure 8-10.Suppose the Government Imposes a Tax That

Multiple Choice

Figure 8-10
-Refer to Figure 8-10.Suppose the government imposes a tax that reduces the quantity sold in the market after the tax to Q2.With the tax,the producer surplus is

A) (P5-0) x Q5.
B) 1/2 x (P5-0) x Q5.
C) (P8-0) x Q2.
D) 1/2 x (P8-0) x Q2.