Nick Can Purchase Each Milkshake for $2

question 431

Multiple Choice

Nick can purchase each milkshake for $2. For the first milkshake purchased Nick is willing to pay $4, for the second milkshake $3, for the third milkshake $2 and for the fourth milkshake $1. What is the value of Nick's consumer surplus for the milkshakes he buys?

• A) $2
• B) $9
• C) $3
• D) $10

Discover ways to engage and retain audience attention.

Learn practical methods to convert presentation anxiety into positive energy.

Appreciate the role and management of backchannels in presentations.

Understand the challenges and techniques for delivering effective online presentations.

---

Definitions:

Issue Price

The price at which new or existing securities are offered for sale to the public or an individual.

Dividend Yield

A financial ratio that shows how much a company pays out in dividends each year relative to its stock price, often used by investors to assess the income-generating potential of an investment.

Cash Dividends Per Share

A measure of the amount of cash dividends paid out to shareholders per share of common stock.

Market Price

The price point at which a service or asset is currently available for trading within a market.