Ask Question
BusinessBusiness
1 October, 01:17

Producer surplus is:

a. the opportunity cost of production minus the cost of producing goods that go unsold.

b. measured using the demand curve for a good.

c. always a negative number for sellers in a competitive market.

d. the amount a seller is paid minus the cost of production.

+3
Answers (1)
  1. 1 October, 01:37
    0
    Answer: Option (d) is correct.

    Explanation:

    Producer surplus is associated with the producer of a good. Graphically, producer surplus is the area between the upper portion of supply curve and equilibrium price level. Producer surplus is also defined as the difference between the price at which sellers are willing supply and the actual price they received.

    Producers surplus = Price paid by buyers - Cost of production
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “Producer surplus is: a. the opportunity cost of production minus the cost of producing goods that go unsold. b. measured using the demand ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
Rayya Co. purchases and installs a machine on January 1, 2017, at a total cost of $142,800. Straight-line depreciation is taken each year for four years assuming a eight-year life and no salvage value.
Answers (1)
Valley Spa purchased $7,800 in plumbing components from Tubman Co. Valley Spa Studios signed a 60-day, 10% promissory note for $7,800. If the note is dishonored, what is the amount due on the note? (Use 360 days a year.) A. 130 B. 7800 C. 7930 D.
Answers (1)
Walmart is most likely engaged in socially responsible activities in response to
Answers (1)
On a participating insurance policy issued by a mutual insurance company, dividends paid to policyholders are
Answers (1)
MikeMike takes a summer job cutting lawnscutting lawns. During the summer, he earns an after-tax income of $3 comma 0003,000 and he spends $2 comma 0002,000 on goods and services.
Answers (1)
New Questions in Business
Briefly discuss the importance of the project charter, and compare the roles played by the project sponsor and the project manager with respect to the preparation of this document.
Answers (1)
Heritage, Inc., had a cost of goods sold of $45,321. At the end of the year, the accounts payable balance was $8,513. How long on average did it take the company to pay off its suppliers during the year
Answers (1)
The United States began collecting federal income tax in which year? A.) 1776 B.) 1861 C.) 1913 D.) 1955
Answers (2)
A company has the choice of either selling 1,000 unfinished units as is or completing them. The company could sell the unfinished units as is for $4.00 per unit. Alternatively, it could complete the units with incremental costs of $1.
Answers (1)
A merchandising company's sales budget indicates the following sales: January: $30,000; February: $20,000; March: $15,000. The company expects 80% of the sales to be on account.
Answers (1)
Home » Business » Producer surplus is: a. the opportunity cost of production minus the cost of producing goods that go unsold. b. measured using the demand curve for a good. c. always a negative number for sellers in a competitive market. d.
Sign Up Forgot Password?