Samsung sells its 16in monitors to Apple for £85 per screen. Its estimated cost is £49 and Apple is willing to pay up to £99. The value creation (VC) and consumer surplus (CS) in this case are equal to
a. VC=£50 , CS=£14.
b. Impossible to say.
c. VC=£36 , CS=£14.
d. VC=£99 , CS=£36.

Q&A Education