Question

Suppose that each of the seven dwarfs buys 4 mugs of ginger ale per week from Snow White's cafe, when the price per mug is $2. If the seven dwarfs are the entire market demand for Snow White's ginger ale, then which of the following is the correct value for market quantity demanded of ginger ale at a price of $2? A. 4 B. 8 C. 28 D. 7

Answer 1

Answer:

C. 28

Explanation:

Market demand for a commodity is the sum of individual demands of the consumers. now, there as there are 7 individuals demanding 4 units of the commodity.

market quantity demanded = 7*4

                                              = 28 units