Answer
The question is incomplete; assuming that the market price is $5.
The answer will be consumer surplus decreases.
Explanation:
Consumer surplus is a measure of consumer welfare. It is measured as the difference between what customers are willing and able to pay for a good and the price they actually pay.
Answer:
c. franchising
Explanation:
Franchising -
It refers to the practice of financing any startup or organization , under a specified name , is referred to as franchising .
The franchisee need to pay some specific amount as soon as he take up the brand name , which is referred to as the franchise agreement .
Hence , from the given scenario of the question ,
The correct answer is c. franchising .
Credit limit refers to the maximum amount of credit a financial institution extends to a client through a line of credit as well as the maximum amount a credit card company allows a borrower to spend on a single card.
