Question

Price (in ₹)	QA (units)	QB (units)	QM (market demand)(units)
10	4	5	______
20	3	4	______
30	2	3	______
40	1	2	______

Complete the above schedule and answer the following:

1. Identify and state the underlying law.
2. State four assumptions of the law.
3. Draw three relevant curves based on the above schedule in one diagram.

Answer 1

Price (in ₹)	QA (units)	QB (units)	QM (market demand)(units)
10	4	5	9
20	3	4	7
30	2	3	5
40	1	2	3

1. The above schedule demonstrates the law of demand. According to the law of demand, increasing the price of a commodity leads to decreased demand and vice-versa provided other parameters stay unchanged.
2. Assumptions of the law of demand are:
   1. The price of related commodities, such as substitutes or complementary goods, remains constant.
   2. The consumer's expectations remain unchanged.
   3. Consumer income levels remain stable.
   4. Consumer tastes and preferences remain stable.
3. 
   
   1. 
      
   2. 
      
   3.