Quantity of output demanded at every price level

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Reference no: EM1312316

Q1. 1. The annual income from a rented office building is $14,000. The annual expenses are $4,000. If the building can be sold for $150,000 at the end of ten years, Elucidate how much could you afford to pay for it now, if you considered 9.5% to be a suitable interest rate

Q2. Price Level Supplied demanded
100 7 17
110 10 11
140 13 8
200 15 7

a. Illustrate what elucidates the shape of the AS Curve?

b. Illustrate what is the equilibrium price level?

c. Illustrate what is the equilibrium output?

d. If the quantity of output demanded at every price level increases by $1 trillion, Illustrate what happens to equilibrium output also prices? Graph your answer?

Reference no: EM1312316

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