Im pretty sure it is 1/12 which if you need that as a fraction so it is unlikley.
This suggests that he buys products with higher prices than other similar products. But this type of market(monopolistic competition) is great though, because there are lesser suppliers than in the pure competition where products are almost within the same price ranges. In a monopolistic competition, suppliers sell their products with a justifiable high price. This is also an advantage for the buyers, they would be able to consume and be satisfied with products of high quality.
Answer:
Option C. $30
Step-by-step explanation:
As per question buyers are willing to pay $135 per tuning. If David demands more than this amount producer will not choose David to tune.
As we can see on first week David is willing to tune the first piano for $115,
So surplus for producer will be
135 - 115 = $20
Surplus for second week for producer will be
135 - 125 = $10
Since David is willing to tune the third and fourth piano for $140 and $175 then the producer will not choose David for tuning.
Therefore, total surplus for the producer will be $20 + $10 = $30
Option C. $30 is the correct option.