Suppose Brent,Callie,and Danielle Each Purchase a Particular Type of Electric

question 16

Multiple Choice

Suppose Brent,Callie,and Danielle each purchase a particular type of electric pencil sharpener at a price of $20.Brent's willingness to pay was $22,Callie's willingness to pay was $25,and Danielle's willingness to pay was $30.Which of the following statements is correct?

• A)Had the price of the pencil sharpener been $24 rather than $20,only Danielle would have been a buyer.
• B)Brent's consumer surplus is the smallest of the three individual consumer surpluses.
• C)For the three individuals together,consumer surplus amounts to $60.
• D)The fact that all three individuals paid $20 for the same type of pencil sharpener indicates that each one placed the same value on that pencil sharpener.

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Definitions:

Confidential

Information that is meant to be kept secret or private between the parties involved, often due to its sensitive nature.

Disclosure

The act of making known or public; in legal and business contexts, it often involves the revealing of previously private information.

Antifraud Provisions

Legal rules and regulations designed to prevent deceit, misrepresentation, and other fraudulent actions in transactions.

Registered Securities

Financial instruments, such as stocks and bonds, that are recorded in the official records of the issuing company, detailing who owns them.