It's very simple to compute this compensation amount. Let's call the additional income needed to compensate our consumer . It turns out that = (PR2 - PR1) x RO. So, for example, if the price of Ramen went from $1.00 to $1.50 and she was originally buying 20 packets, , her compensation, would be ($1.50 - $1.00) x 20 = $10.
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