Demand and Supply for Gasoline Price Quantity Demanded (in gallons) Quantity Supplied (in gallons) 1 1200 200 2 1150 350 3 1100 500 4 1050 650 5 1000 800 6 950 950 7 900 1100 8 850 1250 9 800 1400 10 750 1550 11 700 1700 12 650 1850 13 600 2000 Assume that the government imposes a $4/gallon tax on gasoline (on either consumers or producers). After the imposition of the tax, what is the incidence of the tax

Make or buy eastside company incurs a total cost of $120,000 in producing 10,000 units of a component needed in the assembly of its major product. the component can be purchased from an outside supplier for $11 per unit. a related cost study indicates that the total cost of the component includes fixed costs equal to 50% of the variable costs involved. a. should eastside buy the component if it cannot otherwise use the released capacity? present your answer in the form of differential analysis. use negative sign represent a net disadvantage answer; otherwise do not use negative signs with your answers. cost from outside supplier $answer variable costs avoided by purchasing answer net advantage (disadvantage) to purchase alternative $answer b. what would be your answer to requirement (a) if the released capacity could be used in a project that would generate $50,000 of contribution margin? use negative sign represent a net disadvantage answer; otherwise do not use negative signs with your answers.