Consider the following situation. Molly is one among the sixty‐one bidders who take part in a first‐price auction for vintage furniture. Molly places a value of $850, the highest value, for a vintage dressing table that comes up for auction. Joseph has the second‐highest willingness to pay of $750
-Refer to the scenario above. If the number of bidders goes up to 65, Molly's optimal bid for the product would be ________, and her consumer surplus would be ________.
A) $836.92; $13.08
B) $831.11; $18.89
C) $765.50; $25
D) $750; $28.50
Correct Answer:
Verified
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