Table 15-4 Shakti Inc. Has Been Granted a Patent for Its Arnica

question 54

Multiple Choice

Table 15-4

Shakti Inc. has been granted a patent for its Arnica toothache balm. Table 15-4 shows the demand and the total cost schedule for the firm.
-Refer to Table 15-4.What is the amount of the deadweight loss generated by Shakti when it produces the monopoly output?

• A)$124
• B)$42
• C)$36
• D)$12

---

Definitions:

Real Property

Land and anything permanently attached to it, such as buildings, also known as real estate.

Execution

An action to carry into effect the directions in a court decree or judgment.

Attachment

(1) In the context of secured transactions, the process by which a security interest in the property of another becomes enforceable. (2) In the context of judicial liens, a court-ordered seizure and taking into custody of property prior to the securing of a judgment for a past-due debt.

Unsecured Creditor

A creditor who lends money without obtaining specified assets as collateral, thus facing higher risk in case of borrower's bankruptcy.