Figure 4.4.3
-Refer to Figure 4.4.3 above. When the price of pizza is $30, total expenditure and consumer surplus are, respectively:

Question

Quizplus · Accepted Answer

At a price of $30, the quantity demanded is 50, so total expenditure (area of rectangle) is 50 x $30 = $1500. Consumer surplus (area of triangle) is (1/2) x (50) x (60-30) = $750. Therefore, the correct answer is C ($1500 total expenditure; $750 consumer surplus).

Figure 4.4.3 -Refer to Figure 4.4.3 Above. When the Price of Pizza