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Question
Table 16-3| Potential Customer | Willingness to Pay (dollars per hour) |
| Arun | $8 |
| Bernice | 9 |
| Cara | 10 |
| Dawn | 12 |
Refer to Table 16-3. Suppose Julie's marginal cost of providing this service is constant at $7 and she decides to charge each customer according to his or her willingness to pay. What is the value of consumer surplus by her customers?
A) $39
B) $28
C) $11
D) $0
Answer
This answer is hidden. It contains 1 characters.
Related questions
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Suppose two countries use different combinations of inputs, such as labor and capital, to produce the same product. This implies all of the following except that
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B) the relative input prices.
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C) necessitates using only relatively low-priced inputs.
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Which of the following would be categorized as an opportunity cost?
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b. the cost of purchasing supplies for your house-cleaning business
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A) a only
B) a and c only
C) b and c only
D) all of the above