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Abraham Drinks Mountain Dew

Question 22

Multiple Choice

Abraham drinks Mountain Dew.He can buy as many cans of Mountain Dew as he wishes at a price of $0.55 per can.On a particular day,he is willing to pay $0.95 for the first can,$0.80 for the second can,$0.60 for the third can,and $0.40 for the fourth can.Assume Abraham is rational in deciding how many cans to buy.His consumer surplus is


A) $0.50.
B) $0.60.
C) $0.70.
D) $1.00.

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