Figure 7-1
-Refer to Figure 7-1.If the price of the good is $250,then consumer surplus amounts to
A)$50.
B)$100.
C)$150.
D)$200.

Question

Figure 7-1 
-Refer to Figure 7-1.If the price of the good is $250,then consumer surplus amounts to
A)$50. 
B)$100. 
C)$150. 
D)$200.

Quizplus · Accepted Answer

Consumer surplus is the difference between the price consumers are willing to pay for a good and the price they actually pay. In this case, consumers are willing to pay up to $300 for the good, but they only have to pay $250. Therefore, consumer surplus is $300 - $250 = $50.

Figure 7-1 -Refer to Figure 7-1.If the Price of the Good Is