Question

DO THE MATH: If the price of cord of firewood starts at $255 with a quantity

supplied of 300 cords, then rises to $348 per cord, what is the new quantity supplied
at this price? Assume the slope of the supply curve is 0.75. Round your answer to
the nearest cord. A cord of firewood is a stack of wood 4 feet high x 8 feet long x 4
feet deep.
400 cords
48 cords
464 cords
225 cords

Answer 1

Answer:The new quantity supplied when the price is $348 per cord is 424.

Explanation:

The new quantity supplied when the price is $348 per cord is 424.

What is the new quantity supplied?

The supply curve is a graph that shows the relationship between price and quantity supplied. The supply curve has a positive slope.

The slope of the supply curve is the ratio of the change in the value of price divided by the change in the value of the quantity supplied.

Slope = change in price / change in quantity supplied

0.75 = ($348 - $255) / change in quantity supplied

0.75 = $93 / change in quantity supplied

change in quantity supplied = 93 / 0.75 = 124

The new quantity supplied = 300 + 124 = 424