ZuoTi.Pro
Question

Adam is willing to pay $100 for his 1st pack of toilet paper, $25 for his...

Adam is willing to pay $100 for his 1st pack of toilet paper, $25 for his 2nd, and $10 for his 3rd. Bella is willing to pay $80 for her 1st pack of toilet paper, $70 for her 2nd, and $15 for her 3rd. Chas is willing to pay $30 each for as many packs of toilet paper as he can get. The store currently only has 3 packs left, and only these 3 customers will be at the store to buy toilet paper. Calculate overall consumer surplus for each of the following scenarios: a. The store sells the toilet paper for $25/pack, but Chas gets there first and buys all 3 packs. b. The store keeps the price at $25/pack, but limits purchases to 1 pack per customer. c. The store raises the price to $35/pack.

business   economics   
0 0
Add a comment Improve this question Transcribed image text
Next > < Previous
Sort answers by oldest

Homework Answers

Answer #1

10 (a) Consumer Surplus = Maximum willingnes to pay - Actual price Y the store sells the toilet paper for $25 / park & Chas5 (100-25) + (80-25) + (30-25) = 75 +55+5 = $135 i( 4 the store raises the brice to $35 perck then chas will not burchase any toilet paper as his willingness to pay is less th

0 0
Add a comment
Know the answer?
Add Answer to:
Adam is willing to pay $100 for his 1st pack of toilet paper, $25 for his...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions

  • if Tyler’s willingness-to-pay for pizza is 58 for the 1st slice, for the 2 ^ (nd)...

    if Tyler’s willingness-to-pay for pizza is 58 for the 1st slice, for the 2 ^ (nd) slice, and 2 the 3 ^ (rd) slice, how much consumer does he get it he buys 2 Slices at 3 per slice * ure Syllabus for ECO 2023-00 * Homework Consumer an X https://www.flipitecon.com/Course/ViewProblem?unititemID=4166254& enrollmentID=404358 5600 $1,000 You've reached the maximum number of submissions (1) for this question. Your submissions: D ? Submitted: Tuesday, February 4 at 8:28 PM Feedback Feedback will be...

  • Answer the following simple interest questions: 1. Jeff borrowed $25 from his dad to buy a...

    Answer the following simple interest questions: 1. Jeff borrowed $25 from his dad to buy a fishing license and promised to pay his dad back in one month. His dad agreed, but said that Jeff must pay 15% annual interest. How much interest will Jeff pay? 2. Anna Maria applied for and received a loan to pay for college. She borrowed $25,000. She must pay the loan back in five years with annual interest of 4%. How much money will...

  • 1. Emilio buys pizza for $10 and soda for $2. He has income of $100. His...

    1. Emilio buys pizza for $10 and soda for $2. He has income of $100. His budget constraint will experience a parallel outward shift if which of the following events occur? a. The price of pizza falls to $5, the price of soda falls to $1, and his income falls to $50. b. The price of pizza rises to $20, the price of soda rises to $4, and his income remains the same. c. The price of pizza falls to...

  • Please see attached Pictures. This is a homework assignment for Legal environment of Business that i...

    Please see attached Pictures. This is a homework assignment for Legal environment of Business that i need help solving. Stacy mails Jennifer an offer to sell Jennifer 43 bags of rice for $107.00. Jennifer replies to Stacy by mail, stating, " agree to pay $105.75 for 43 bags of rice. Neither Stacy nor Jennifer are merchants. What is the status of Stacy's offer. 1. a. Jennifer has accepted it b. Jenifer has rejected it and counteroffered c, Jennifer has breached...

  • Sent Need the answers for that whole question paper True or false questions (25) has any...

    Sent Need the answers for that whole question paper True or false questions (25) has any effect SECTION TRUE OR FALSE QUESTION (40 Marks) The following questions indicate if it's True or False. Each question carries 2 Marks 1. Accounting Principle is general law or rule followed in the preparation of financial statements 2. Usefulness, objectivity and feasibility are the three basic norms generally found in accounting principles 3. The Cash book record only the cash payments 4. If a...

  • FART I TRUE FALSE QUESTIONS (10 points). Please write True (1) or False (F) on the...

    FART I TRUE FALSE QUESTIONS (10 points). Please write True (1) or False (F) on the blank Scarcity is the intimited nature of society's resources given society's limited wants 2. A reward is a type of positive incentive. 3. To remove difficulty of double coincidence of wants we use money. 4. An exogenous factor is a variable that can be controlled for inside the model. 5. The PPF will not have a constant slope. 6. The law of demand states...

  • In the summer of 2017, Reigh Webster and her friend Ella Hill were relaxing in a...

    In the summer of 2017, Reigh Webster and her friend Ella Hill were relaxing in a local watering hole complaining about their boring monotonous jobs. Reigh told Ella that she has been saving her money and is looking for a lucrative opportunity to invest in and get out of the day-to-day grind at the office. Ella indicated she had been doing the same. An executive walked up to the table and indicated he had overheard Reigh and Ella’s conversation and...

  • Adjustment information as of September 30, 2013 not already given in original transactions: Joe was very...

    Adjustment information as of September 30, 2013 not already given in original transactions: Joe was very conscientious in checking his customers' credit history. However, while at the Nevada State Boat Show, he learned that it is customary within the pleasure boating industry for retail boat sales to suffer bad debt losses equal to 5% of credit sales. Joe decides that it is prudent to use the 5% industry-wide standard until he has more experience with his own business and customers....

  • Use program control statements in the following exercises: Question 1 . Write pseudocode for the following:...

    Use program control statements in the following exercises: Question 1 . Write pseudocode for the following: • Input a time in seconds. • Convert this time to hours, minutes, and seconds and print the result as shown in the following example: 2 300 seconds converts to 0 hours, 38 minutes, 20 seconds. Question 2. The voting for a company chairperson is recorded by entering the numbers 1 to 5 at the keyboard, depending on which of the five candidates secured...

  • Read about Cokes strategy in Africa in the article below and discuss the ethics of selling...

    Read about Cokes strategy in Africa in the article below and discuss the ethics of selling soft drinks to very poor people. Is this an issue that a company like Coke should consider? Africa: Coke's Last Frontier Sales are flat in developed countries. For Coke to keep growing, Africa is it By Duane Stanford Piles of trash are burning outside the Mamakamau Shop in Uthiru, a suburb of Nairobi, Kenya. Sewage trickles by in an open trench. Across the street,...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT