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Supply Function

The supply function is now explained with the help of a schedule and a curve.

Supply Schedule of a commodity:

Price per unit (Px) 5 4 3 2 1
Quantity supplied (Qxs) 100 80 60 40 20



In the table above, the produce are able and willing to offer for sale 100 units of a commodity at price of Tk . 5. As the price falls, the quantity offered for sale decrease. At price of Tk. 1, the quantity offered for sale is only 20 units.