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Quantitative Analysis of Taxes
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Quantitative Analysis of Taxes
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6. Introduction to Taxes and Subsidies / Quantitative Analysis of Taxes / Problem 4
Problem 4
If the original supply equation is Qs = 5P - 15 and a \$3 tax is imposed on suppliers, derive the new supply equation.
A
Qs = 5(P - 3) - 15
B
Qs = 5P - 12
C
Qs = 5P - 18
D
Qs = 5(P + 3) - 15
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