Which of the following accurately describes a surplus?

O A. A car company tries to charge too high a price for a car and has to

reduce the price.

B. A reduction in the cost of steel enables a car company to reduce

the sale price of its cars.

C. The production costs for a certain car are below the sale price of

that car

D. Consumer demand for a certain car is below the number of cars

that are produced.

Question

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Amari Suarez

15 March, 14:13

Which of the following accurately describes a surplus?

O A. A car company tries to charge too high a price for a car and has to

reduce the price.

B. A reduction in the cost of steel enables a car company to reduce

the sale price of its cars.

C. The production costs for a certain car are below the sale price of

that car

D. Consumer demand for a certain car is below the number of cars

that are produced.

+5

Answers (2)

Know the Answer?

Tanya Briggs · Answer 1

Tanya Briggs 15 March, 14:34

0

D

Explanation:

just took the test

Yandel Mercado · Answer 2

C

Explanation:

Surplus means price - costs = positive number

In this situation the production cost is below the sale price of the car

So you have a surplus.

If they were equal you'd just break even.

And if the costs are higher than the price you'd have a shortage.