2 steven buys an iphone for usd550 and gets a consumer surplus of usd8
Steven buys an iPhone for $550 and gets a consumer surplus of $80.
3.1. What is Steven's willingness to pay? Show your calculations.
3.2. What is seller's willingness to sell if the costs of production per iPhone are $385? Show
3.3. If Steven had bought the iPhone on sale for $490, what would his consumer surplus have
been? Show your calculations.
3.4. If the price of an iPhone were $800, what would Steven's consumer surplus have been?
Show your calculations.
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