Question

We have the following table for humidifiers:

Price   Quantity supplied  Quantity demanded

$200      5,500                      3,500

$175      5,000                      4,000

$150      4,500                      4,500

$125      4,000                      5,000

$100      3,500                      5,500

$75      3,000                      6,000

$50      2,500                      6,500

$25      2,000                      7,000

$0      1,500                      7,500

What is the equilibrium price?

Group of answer choices

$75

$100

$150

$175

Answer 1

Equilibrium is the point where demand curve and supply curve intersects.

From the given data we can clearly see that quantity demand and quantity supply are intersecting on the output of 4500 units .

So equilibrium price will be equal to corresponding quantity that is $150 units.

So the answer is option C