Apply your understanding of the provious liry terms by completing the following somario with the appropriate terminology. Your professor claims that one the following graph correctly ilustrates the supply curve for CDs: Because you understand land the law of supply.you can deduce that the corred graphical representation of the supply for CDs must be Morever, you know that at a price of 10 per CD, the __ is five million Cos

To determine which curve correctly illustrates the supply curve for CDs, we need to understand the basic economic principles of supply and demand.Supply Curve:- The supply curve typically has a positive slope.- This means that as the price increases, the quantity supplied also increases.- Producers are willing to supply more at higher prices because they can cover the costs and make more profit.Demand Curve:- The demand curve typically has a negative slope.- This means that as the price increases, the quantity demanded decreases.- Consumers are less willing to buy a product at higher prices.Given the information about the two lines:Line A:- Has a negative slope.- Passes through points (0,20) and (10,0).- This suggests that as the price decreases from 0, the quantity increases from 0 to 10 million CDs.- This behavior is consistent with a demand curve, not a supply curve.Line B:- Has a positive slope.- Passes through points (0,0) and (10,20).- This suggests that as the price increases from 20, the quantity increases from 0 to 10 million CDs.- This behavior is consistent with a supply curve.Given that at a price of $10 per CD, there is a quantity of five million CDs, and considering the slopes of the lines, we can deduce that:- Line A, with a negative slope, cannot represent the supply curve because it suggests that a higher price would result in a lower quantity supplied, which is contrary to the law of supply.- Line B, with a positive slope, correctly represents the supply curve because it suggests that a higher price would result in a higher quantity supplied, which aligns with the law of supply.Therefore, the correct graphical representation of the supply for CDs must be Line B.Answer: B