The minimum price that a seller is willing to accept for his product and the maximum price a buyer is willing to pay for the product are referred to as their:
A)bid prices.
B)reservation prices.
C)offer prices.
D)sale prices.
E)traded prices.

Question

Quizplus · Accepted Answer

The minimum price a seller is willing to accept and the maximum price a buyer is willing to pay are known as their reservation prices. This term is commonly used in economics to describe the point at which a transaction will occur, as it represents the price at which both the buyer and seller are willing to enter into the transaction. The other choices are not as accurate or descriptive of this concept.

The Minimum Price That a Seller Is Willing to Accept