Look at the table. Then answer the question. At a price of $885, is there a shortage or a surplus?
Price | Quantity demanded | Quantity supplied
$485 | 12,400 | 2,900
$585 | 10,600 | 5,500
$685 | 8,800 | 8,100
$785 | 7,000 | 10,700
$885 | 5,200 | 13,300
At the price of $885, the quantity demanded is less than the quantity supplied. There is too much of the good or service for sale at that price. So, there is a surplus.
