Price ceilings create five important effects: a. excess demand, long lines, poor service, efficiency, and arbitrage.
b. surpluses, increases in product quality, search costs, gains from trade, and resource attrition.
c. shortages, reduced time costs, low vacancy rates, blat, and deadweight loss.
d. shortages, reductions in product quality, wasteful lines, a loss of gains from trade, and a misallocation of resources.

Hank itzek manufactures and sells homemade wine, and he wants to develop a standard cost per gallon. the following are required for production of a 70-gallon batch. 2,700 ounces of grape concentrate at $0.04 per ounce 77 pounds of granulated sugar at $0.43 per pound 133 lemons at $0.79 each 350 yeast tablets at $0.24 each 350 nutrient tablets at $0.14 each 2,500 ounces of water at $0.001 per ounce hank estimates that 4% of the grape concentrate is wasted, 9% of the sugar is lost, and 32% of the lemons cannot be used. compute the standard cost of the ingredients for one gallon of wine. (round intermediate calculations and final answer to 2 decimal places, e.g.