The overall sacrifice a consumer makes to acquire a product or service is known as:

• A. Marginal utility
• B. Consumer surplus
• C. Total expenditure
• D. Producer surplus

Answer: (C)

Verified step by step guidance

1. Step 1: Understand the concept of 'overall sacrifice' in consumer theory. This refers to the total amount of money a consumer spends to obtain a product or service.
2. Step 2: Recall the definitions of the given options: Marginal utility is the additional satisfaction from consuming one more unit; Consumer surplus is the difference between what a consumer is willing to pay and what they actually pay; Producer surplus is the difference between the price received and the minimum price producers are willing to accept.
3. Step 3: Recognize that 'overall sacrifice' corresponds to the total amount paid by the consumer, which is the product of the price per unit and the quantity purchased.
4. Step 4: Express this mathematically as Total Expenditure = Price \times Quantity, which represents the total money spent by the consumer.
5. Step 5: Conclude that the term describing the overall sacrifice a consumer makes is Total Expenditure, as it captures the full monetary cost incurred.