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Managerial Economics · End Term · 13 Apr 2025 · January 2025 term

Question 29: The new price that buyer pays after incidence of tax is

Question 29

+1 markOne correct option

The market demand curve for pizzas is P=300-Q and the market supply curve is P=60+2Q. A tax of t=15 INR is imposed on one unit of pizza sold. Answer the given subquestions.

The new price that buyer pays after incidence of tax is

  1. A

    P=220 INR

  2. B

    P=190 INR

  3. C

    P=180 INR

  4. D

    P=225 INR

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Correct answer

  • D

    P=225 INR

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Question 29 of 40 in the IIT Madras BS Managerial Economics (Managerial Economics) End Term paper sat on 13 Apr 2025, in the January 2025 term (IIT M IMPROVEMENT AN EXAM QIM3 13 Apr 2025). It carries 1 mark.

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