Figure 9-12

-Refer to Figure 9-12.Consumer surplus before trade is
A) $3,600.
B) $4,200.
C) $5,400.
D) $6,000.

Name: Figure 9-12 -Refer to Figure 9-12.Consumer surplus before trade is A) $3,600. B) $4,200. C) $5,400. D) $6,000.
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Question

Figure 9-12
 
-Refer to Figure 9-12.Consumer surplus before trade is
A) $3,600. 
B) $4,200. 
C) $5,400. 
D) $6,000.

Quizplus · Accepted Answer

Consumer surplus before trade is the triangle above the equilibrium price and below the demand curve. Therefore, the consumer surplus before trade is the area of the triangle with base 30 and height 180, which equals (1/2) x 30 x 180 = $5,400.

Figure 9-12 -Refer to Figure 9-12.Consumer Surplus Before Trade Is