Michele is willing to pay $15 to see St Trinians for the fourth time. She finds a theatre showing St Trinians for $8.00. Michele's consumer surplus is:

Question

Quizplus · Accepted Answer

Consumer surplus is the difference between the maximum price a consumer is willing to pay for a good or service (in this case, $15) and the actual price they pay (in this case, $8). Therefore, Michele's consumer surplus is $15 - $8 = $7. Choice C ($8) is the closest option to this value.

Michele Is Willing to Pay $15 to See St Trinians