DSE-2009

Posted by nidhi on Jun 04, 2010; 4:42am
URL: http://discussion-forum.276.s1.nabble.com/DSE-2009-tp5138086.html

  Q1. The demand function for lemonade is Qd = 100 − p , and the supply function is
Qs = 10 + 2 p , where p is the price in rupees. The government levies a sales tax on
lemonade after which the volume of sales drops to 60. Then the per unit tax on
lemonade is
           a)   Rs 20
           b)   Rs 15
           c)   Rs. 10
           d)   Rs. 5