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Hi John!
-In your lectures, your said that $1.125 is the most extra we would be willing to pay.
-However, in total terms what the most extra we would be be willing to pay? $226.122? If yes or no please explain.Thanks.
$1.125 is the most extra over and above what we are currently paying.
In this question we are not told what the normal price per kg is, but if (for example) it was normally $10 per kg, then since to get more than 80kg we would have to pay more than $10, we would be prepared to pay up to a total of $11.25 per kg to get extra material.
How on earth could it possibly be $226.122? That would be complete nonsense.
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