Terry consumes three hamburgers at McDonald's. He figures out that the last hamburger he ate was just worth the price he paid for it. If the price of a hamburger is $1, _____.
a. ?he has a consumer surplus on the third hamburger alone
b. ?he has a consumer surplus on the first hamburger
c. ?he would have a consumer surplus if he eats one more hamburger
d. ?he has no consumer surplus
e. ?he has a consumer surplus on the first two hamburgers
Answer: e. ?he has a consumer surplus on the first two hamburgers
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