Net Benefit Price per unit Supply Demand Quantity per period

1. Equilibrium is occured where supply equal to demand. So ewuiequilib price is OB and equilibrium quantity is OE. The third option is correct.

2. An efficient allocation of resources macimised net benefit as at that point economy produces the potential output. The first option is correct.

3. M=(price of peanuts*quantity of peanuts)+(price of popcorn*quantity of popcorn)

10=(0.50*quantity of peanuts)+(0.25*20)

Therefore, quantity of peanuts=10

The second option is correct.

4. Market and efficiency panel a shows equilibrium by supply and demand. There is no MC. The first option is correct.

5. Common property resources has serious link with efficient allocation of resources. The given statement is FALSE.

6. The marginal cost is additional cost for one unit extra output. the given statement is TRUE.