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A. Option D
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An individual has an extremely rare item and intends to sell it via an English (open outcry) auction. In which situation should the seller forgo the auction and sell the item for a fixed price?
A. The seller knows that consumers' willingness to pay varies between $1,000 and $5,000.
B. The seller knows that consumers' willingness to pay varies between $500 and $1,000 and knows that only one consumer is willing to pay above $900.
C. The seller has no information about consumers' willingness to pay.
D. The seller knows that consumers' willingness to pay varies between $500 and $1,000 and knows that at least three consumers are willing to pay above $950.
Answer: B
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