Reference: Ref 14-6 (Table: Willingness to Pay) Refer to the table. What is John's maximum willingness to pay for the bundled goods?
A) $90
B) $30
C) $120
D) $105

Question

Reference: Ref 14-6 (Table: Willingness to Pay) Refer to the table. What is John's maximum willingness to pay for the bundled goods?
A) $90 
B) $30 
C) $120 
D) $105

Quizplus · Accepted Answer

John's maximum willingness to pay is $120, therefore he can purchase the bundle of goods (consisting of product A and B) for $100, which is less than his maximum willingness to pay. None of the other choices match John's maximum willingness to pay.

Reference: Ref 14-6 (Table: Willingness to Pay) Refer to the Table