Author Question: If you are willing to sell your car business for 500,00 . and someone offers you 420,00 . for it, ... (Read 66 times)

colton · **on:** Jul 1, 2018

If you are willing to sell your car business for 500,00 . and someone offers you 420,00 . for it, this transaction will generate:
a. There is no surplus created
b. 80,00 . worth of seller surplus and unknown amount of buyer surplus
c. 40,00 . worth of buyer surplus and 40,00 . of seller surplus
d. 80,00 . worth of buyer surplus and unknown amount of seller surplus

Question 2

Apple has continued to be innovative to ensure that the demand for its products stays or becomes
a. More inelastic
b. More elastic
c. Unitary elastic
d. None of the above