One can determine producers' surplus if the minimum selling price and the _____________ are known.
A) price received
B) price paid
C) tax paid
D) tax received
E) a and c

Question

Quizplus · Accepted Answer

Producers' surplus is the difference between the minimum selling price and the price actually received for a product. Therefore, if the minimum selling price and the price received are known, producers' surplus can be determined. The other answer choices (B, C, D, and E) do not directly relate to determining producers' surplus.

One Can Determine Producers' Surplus If the Minimum Selling Price