Calvin buys a new tractor for $125,000.He receives consumer surplus of $13,000 on his purchase.What is Calvin's willingness to pay

Question

Quizplus · Accepted Answer

Calvin's willingness to pay can be calculated by adding the consumer surplus to the actual amount paid for the tractor. 
Willingness to Pay = Actual Amount Paid + Consumer Surplus 
Willingness to Pay = $125,000 + $13,000 
Willingness to Pay = $138,000 
Therefore, the best choice is D, which represents the correct willingness to pay for Calvin's tractor purchase.

Calvin Buys a New Tractor for $125,000