Answer
b
Work Step by Step
Producer Surplus= Amount actually received - Seller's value of her time.
400 - 300 = 100
We chose B because the answer is 100 and 100 is between 100 and 200 and not less than 100 such as at A.
Principles of Microeconomics, 7th Edition
by Mankiw, N. Gregory
Published by
South-Western College
ISBN 10:
128516590X
ISBN 13:
978-1-28516-590-5
Chapter 7 - Part III - Consumers, Producers, and the Efficiency of Markets - Quick Check Multiple Choice - Page 152: 3
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