Suri is willing to pay $85 for a pair of shoes for her graduation banquet.She finds a pair at her favourite outlet shoe store for $62.What is Suri's consumer surplus

Question

Quizplus · Accepted Answer

Suri's maximum willingness to pay for the shoes was $85, but she was able to purchase them for only $62. Therefore, her consumer surplus is:

Consumer Surplus = Maximum Willingness to Pay - Price Paid
Consumer Surplus = $85 - $62
Consumer Surplus = $23

Option A is the correct answer.

Suri Is Willing to Pay $85 for a Pair of Shoes