Carolina is trying to sell her car, and the lowest amount she is willing to accept is $2,000. Abdul is interested in buying the car, and although he is willing to pay $2,500, he negotiates a price of $2,100. How much consumer surplus does Abdul attain, and what is the total surplus?

Abdul's surplus= $400

Total surplus=$500

Explanation:

Consumer surplus can be defined as the amount a consumer is willing to pay and the amount he actually paid (which is usually less).

Given:

Carolina willing selling price=$2,000

Abdul willing buying price=$2,500

Abdul negotiated price=$2,100

Abdul is willing to pay $2,500 but he negotiated $2,100

Abdul's surplus= $2,500-$2,100

=$400

Total surplus= Abdul's willing price - carolilina's willing price

Total surplus= $2,500 - $2,000

= $500

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