Connie can clean windows in large office buildings at a cost of $1 per window. The market price for window-cleaning services is $3 per window. If Connie cleans 100 windows, her producer surplus is $200.

Question

Quizplus · Accepted Answer

Producer surplus is calculated as the difference between the market price and the cost, multiplied by the quantity. Here, ($3 - $1) * 100 = $200.

Connie Can Clean Windows in Large Office Buildings at a Cost