CENGAGE |MINDTAP Chapter 07 Homework 3. Consumer surplus for a group of consumers The following graph plots the demand curve (blue line) for several consumers in the market for VR headsets in Mead, a small town located in Colorado The Mead market price of a VR headset is given by the horizontal black line at $120. Each rectangle you can place on the following graph corresponds to a particular buyer in this market: orange (square symbols) for Hubert, green (triangle symbols) for Kate, purple (diamond symbols) for Manuel, tan (dash symbols) for Poornima, and blue (circle symbols) for Shen. Use the rectangles to shade the areas representing consumer surplus for each person who is willing and able to purchase a VR headset at a market price of $120. (Note: If a person will not purchase a VR headset at the market price, indicate this by leaving his or her rectangle in its original position on the palette.) 240 Hubert 210 Kate Hubert Manuel Kate Market Price PRICE (Dollars per VR headset Poornima Manuel 8 8 Shen Poornima 2 3 5 6 7 Shen QUANTITY (VR headsets) * CO 8 LO # M O C Y I LL 3 ZChapter 07 Homework Manuel, tan (dash symbols) for Poornima, and blue (circle symbols) for Shen. (Note: If a person will not purchase a VR headset at the new market price, indicate this by leaving his or her rectangle in its original position on the palette.) 240 Hubert 210 Kate Hubert 180 Manuel 150 120 PRICE (Dollars per VR headset) Poornima Manuel 8 Market Price 8 Sher Poornima 3 4 5 8 Shen QUANTITY (VR headsets) Based on the information in the second graph, when the market price of a VR headset decreases to $60, the number of consumers willing to buy a VR headset to , and total consumer surplus to $ Gradeb Now Save & Continue Continue without saving F10 * CO O of LO # m GN O S I O LL Z >CENGAGE MINDTAP Chapter 07 Homework Based on the information on the previous graph, you can tell that will buy VR headsets at the given market price, and total consumer surplus in this market will be $ Suppose the market price of a VR headset decreases to $60. On the following graph, use the rectangles once again to shade the areas representing consumer surplus for each person who is willing and able to purchase a VR headset at the new market price: orange (square symbols) for Hubert, green (triangle symbols) for Kate, purple (diamond symbols) for Manuel, tan (dash symbols) for Poornima, and blue (circle symbols) for Shen. (Note: If a person will not purchase a VR headset at the new market price, indicate this by leaving his or her rectangle in its original position on the palette.) 240 Hubert 210 Kate Hubert Manuel 150 Kate PRICE (Dollars per VR headset) Poornima Manuel 8 Market Price 8 Shen Poornima O 5 7 N 3 Shen QUANTITY (VR headsets) - O * CO OR LO # m O C Y I LL Z