The difference between the actual price that a producer receives and the minimum acceptable price the producer is willing to take is called the producer

A) revenues.
B) surplus.
C) costs.
D) utility.

Question

The difference between the actual price that a producer receives and the minimum acceptable price the producer is willing to take is called the producerA) revenues.B) surplus.C) costs.D) utility.

mahira mohammed · Accepted Answer

Final Answer : B, Explanation :  The difference between the actual price received by a producer and the minimum acceptable price is called producer surplus. This represents the benefit or profit that the producer receives from selling their product at a price higher than their cost of production. Revenues (A) refer to the total income received from selling a product, while costs (C) refer to the expenses incurred in producing a product. Utility (D) refers to the satisfaction or usefulness derived from consuming a product, and is not directly related to producer surplus.

The difference between the actual price that a producer receives and the minimum acceptable price the producer is willing to take is called the producer

A) revenues.
B) surplus.
C) costs.
D) utility.

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Learning Objectives

Learning Objectives

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