If a Monopolist Practices Perfect Price Discrimination

question 75

Multiple Choice

If a monopolist practices perfect price discrimination,

• A)the firm will break even in the long run.
• B)consumers surplus will be equal to the deadweight loss.
• C)producer surplus will equal consumer surplus.
• D)consumer surplus will be zero.

---

Definitions:

Adjusting Journal Entry

An entry in accounting that is made at the end of an accounting period to record any unrecognized income or expenses for the period.

Asset

An item of value owned by an individual or corporation that is expected to provide future economic benefits.

Adjusting Entry

A journal entry made in accounting records to update the book values of certain assets or liabilities to their correct amounts.

Principal

The original sum of money borrowed in a loan or the initial amount of investment before any earnings or interest is added.