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| *Ostroff, Fair and Company>>>Canada Taxes |
What is the amount of the tax on a case of cola? |
Suppose that the government decides to charge cola consumers a tax. Before the tax, 12 million cases of cola are sold every month at a price of $3.50 per case. After the tax, 6 million cases of cola are sold every month; consumers pay $4.00 per case and producers receive $2.00 per case. Use this information to answer the following questions. You didn't give the tax rate, which is necessary to answer this question. Thanks. |
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