Question

What does the following table indicate?

Price in (₹)	Quantity supplied in kg
10	15
20	40

Options

• An extension of supply

• A contraction of supply

• An upward shift of supply curve

• A downward shift of supply curve

Answer 1

An extension of supply

Explanation:

• Extension of supply refers to an increase in the quantity supplied in response to an increase in price, assuming other factors remain constant.
• In the given table, as the price increases from ₹10 to ₹20, the quantity supplied increases from 15 kg to 40 kg. This indicates an extension of supply, where suppliers are willing to offer more at higher prices.