Question

Amanda buys a ruby for $330 for which she was willing to pay $340. the minimum acceptable price to the seller, tony, was $140. amanda experiences: a consumer surplus of $10 and tony experiences a producer surplus of $190. a producer surplus of $200 and tony experiences a consumer surplus of $10. a consumer surplus of $670 and tony experiences a producer surplus of $200. a producer surplus of $10 and tony experiences a consumer surplus of $190.

Answer 1

Amanda's consumer surplus is $10, since the ruby was worth $10 more than she paid for it. Tony was willing to sell the ruby for a minimum of $140, and received $330, making his producer surplus $190.
Answer: Amanda: consumer surplus of $10. Tony: producer surplus of $190