Multiple Choice
Marti wanted to replenish her wardrobe and went to the $30 rack at K-Mart. There she saw three stylish dresses. She was delighted because she would have been willing to pay $40 for the first dress, $35 for the second dress, and $30 for the third dress. She bought all three. Which of the following is correct?
A) Only the third dress sold for its price.
B) The consumer surplus she derived was $90.
C) The consumer surplus she derived was $105.
D) The consumer surplus she derived was $15.
E) The consumer surplus she derived was zero because, for the third, price was exactly what she was willing to pay.
Correct Answer:
Verified
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