-The Figure Above Shows Clara's Demand for CDs

question 416

Multiple Choice

-The figure above shows Clara's demand for CDs. At a price of $20 for a CD, the value of Clara's total consumer surplus for all the CDs she buys is

• A) $40.
• B) $30.
• C) $20.
• D) $4.

---

Definitions:

Simple Interest

Interest calculated on the principal portion of a loan or deposit, using a simple calculation that does not compound.

Monthly Basis

An occurrence or calculation that happens every month.

Round Answers

Round Answers indicates the practice of adjusting numerical answers to a specified degree of precision, often the nearest whole number, to simplify presentation or calculation.

Simple Interest

Simple interest is a calculation of interest that does not take into account the effect of compounding. Interest is applied only to the principal over a set period.