A consumer surplus measures the
- benefits derived from consuming a cheap commodity
- excess of total expenditure over total uility
-
difference between marginal utility and marginal cost
- excess of marginal utility over price
The correct answer is: C
Explanation
Consumer Surplus is the difference between the price that consumers pay and the price that they are willing to pay. For instance if mr A budgeted N100 for commodity X and ended up buying it for 150, consumer surplus is 150-100=50.