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Billy Mac Tailor Drives an Eighteen-Wheeler CG Carriers

Question 18

Multiple Choice

Billy Mac Tailor drives an eighteen-wheeler CG Carriers. He always stops at All Bright truck stops to by diesel fuel. He is a preferred customer and gets a free meal and shower worth $10.00. But All Bright charges $12.00 more for a fill up than most competitors. Which of the following is true?


A) CG Carriers gets a benefit of $22.00 because Tailor is a preferred customer.
B) CG Carriers has a wealth reduction of $2.00 even though they do not know about Tailor's actions.
C) There is a wealth transfer to Billy Mac Tailor and CG Carriers has a wealth reduction of $12.00 .
D) Billy Mac Tailor increases his income by $10.00 and CG Carriers also benefits.

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