Amanda Buys a Ruby for $330 for Which She Was

question 161

Multiple Choice

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) a consumer surplus of $10, and Tony experiences a producer surplus of $190.
• B) a producer surplus of $200, and Tony experiences a consumer surplus of $10.
• C) a consumer surplus of $670, and Tony experiences a producer surplus of $200.
• D) a producer surplus of $10, and Tony experiences a consumer surplus of $190.

---

Definitions:

Bank Certificate

A document issued by a bank certifying the deposit of money or financial instruments with a certain value.

Budget

An estimate of income and expenditure for a set period of time.

Exhausts

Refers to resources or supplies being completely used up or depleted.

Bananas

A tropical fruit with a yellow skin and soft, sweet flesh, often grown in clusters on large plants resembling trees.