Answer:
d. All of the above are correct.
Step-by-step explanation:
Market is at equilibrium where demand = supply & the corresponding curves intersect.
Price ceiling is maximum price mandated by the government at which a good can be sold in the market. It is usually below equilibrium price, set to bring necessity goods under affordable price bracket of poor people.
A&B This artificially reduced price : - Increases Quantity Demanded of the good (Baby Formula here), because of price & quantity demanded inverse relationship as per law of demand. -- Decreases Quantity Supplied of it , because of price & quantity demanded direct relationship as per law of supply.
C This quantity demanded increase & quantity supplied decrease at lower prices creates shortage of the good (Baby Formula here).