Question

If a $3 per unit tax is imposed to producers in a market and the price that consumers pay (PB) equals $72, then PS (price received by suppliers) is? The results should be an integer number, no decimals (e.g. if the result is 3.67, write 4.)

Answer 1

The price received by suppliers (PS) after a $3 per unit tax is imposed on producers in a market is $69 per unit.

Step-by-step explanation:

To find the price received by suppliers (PS) after a $3 per unit tax is imposed on producers in a market, we need to subtract the tax amount from the price paid by consumers (PB). In this case, PB is given as $72. So, PS = PB - Tax. PS = $72 - $3 = $69 per unit.