Answer:
The consumer surplus is $25 and producer surplus of $5
Explanation:
Consumer surplus is the difference between the price the customer is willing to pay and the market price of a product. In the attached diagram it is represented on the demand supply graph as the portion between equillibrum price and demand curve.
Consumer surplus= 175- 150= $25
The producer surplus is difference between market price of a product and the amount a seller is willing to sell. On the demand and supply graph it is the area between equillibrum and supply as seen in the diagram.
Producer surplus= 150- 145= $5
Answer:
<h2>The answer in this instance, would be option a. or $365.</h2>
Explanation:
- In this case, the original price of the baseball game ticket is $170 as paid by Max to buy the ticket and someone offered $365 to sell his ticket to that person.
- Note that Max is basically giving up or sacrificing the opportunity of earning $365 as he decides to attend the game and not sell his ticket.
- Therefore,in this case, the opportunity cost of attending the game by personally purchasing the ticket to Max would be $365 as he is foregoing the opportunity to earn additional $365 by refusing to sell his ticket and go to the game instead.
D would be the correct answer
Can change
Hope this helps :)
Answer:
$12
Explanation:
The computation of the value of the share is shown below:
Value of the share is
= Dividend ÷ (Required rate of return - shrinking rate)
where,
The Dividend is $3
The Required rate of return is 15%
And the shrinking rate is 10%
Now placing these values to the above formula
= $3 ÷ (15% - (-10%)
= $3 ÷ 25%
= $12