A decrease in the demand for eggs due to changes in consumer ...

[stock]

A decrease in the demand for eggs due to changes in consumer tastes, accompanied by a decrease in the supply of eggs as a result of an outbreak of Avian flu, will result in
 
  A) a decrease in the equilibrium price of eggs and no change in the equilibrium quantity.
  B) a decrease in the equilibrium price of eggs; the equilibrium quantity may increase or decrease.
  C) a decrease in the equilibrium quantity of eggs; the equilibrium price may increase or decrease.
  D) a decrease in the equilibrium quantity of eggs and no change in the equilibrium price.

Question 2

Which of the following would explain why accounting profit might be greater than economic profit?
 
  A) A firm has only explicit costs.
  B) A firm's net income is greater than its accounting profit.
  C) A firm's net income is less than its accounting profit.
  D) A firm has implicit costs as well as explicit costs.

[kaylee05]

Answer to Question 1

C

Answer to Question 2

D