Question

The cost of making one cookie is $1.00, and the market price for a cookie is 50 cents. at this price, you would supply _____ cookie(s). zero many only one

Answer 1

Option 1 - At this price, you would supply zero cookie(s).

Explanation:

Given : The cost of making one cookie is $1.00.

The market price for a cookie is 50 cents.

To find : At this price, how many cookies you would supply ?

Solution :

Cost of making 1 cookie is $1.00 which is more than the market price of 1 cookie is 50 cents.

As the cost of making one cookie is more than the market price.

which means if i sell the cookie i will not make any profit.

So, according to it there is no supply of cookie.

Therefore, at this price, you would supply zero cookie(s).

Hence, option 1 is correct.

Answer 2

The cost of $1.00 is more than the market price at which i can sell it for, $0.50.

I am NOT going to make any profit. So I am NOT going to supply any.

ANSWER: Zero