Suppose Sue's buys a good for $60 on eBay. If the consumer surplus from the sale is $25, Sue would have been willing to pay:
A) $35.
B) $25.
C) $60.
D) $85.

Question

Quizplus · Accepted Answer

Consumer surplus is the difference between the willingness to pay and the actual price paid. Therefore, if the consumer surplus is $25 and the price paid is $60, Sue's willingness to pay must be $60 - $25 = $35. So, the correct answer is A) $35.

Suppose Sue's Buys a Good for $60 on EBay