Answer;
-Market price
Explanation;
-When the supply and demand curves intersect, the market is in equilibrium. This is where the quantity demanded and quantity supplied are equal. The corresponding price is the equilibrium price or market-clearing price, the quantity is the equilibrium quantity.
-If a market is not in equilibrium a situation of a surplus or a shortage may exist. A surplus, also called excess supply, is the amount by which the quantity of a good offered for sale by producers in a market exceeds the quantity demanded by consumers.
-A shortage, also called excess demand, is the amount by which the quantity of a good demanded by consumers is greater than the quantity supplied by producers and occurs when prices are below the equilibrium price.
The correct answer is C) market price.
The price at which the quantity demanded by consumers will equal the quantity supplied by producers is called market price.
When a market price has been established, people who buy and people who sell agree to establish trade in an open market. The market price is determined by the supply and demand, and sometimes specialist called it "market value." In Accounting, the market price can be used to record the cost of the transactions.
