Suppose that you produce an award winning yogurt that you sell at a farmer's market. It is produced mainly from grass fed cows and you don't use antibiotics, growth hormones or other "artificial" inputs. A typical customer is willing to pay (in dollars) 10 for a 32oz bottle and 10 for a second bottle of the same size. Suppose that your unit cost is 2 per bottle. You currently charge 3 per bottle. What is the total surplus? Note: do not enter a dollar sign, $, in your answer. Just enter the number.

Suppose that you produce an award winning yogurt that you sell at a farmer's market. It is produced mainly from grass fed cows and you don't use antibiotics, growth hormones or other "artificial" inputs. A typical customer is willing to pay (in dollars) 10 for a 32oz bottle and 10 for a second bottle of the same size. Suppose that your unit cost is 2 per bottle. You currently charge 3 per bottle. What is the total surplus? Note: do not enter a dollar sign, $, in your answer. Just enter the number.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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