Consider an activity A that has the following marginal benefit (MB) and marginal cost (MC) functions: MB - 50 - 0.025A and MC 40 + 0.0254 and the following total benefit (TB) and total cost (TC) functions: TB 50A - 0.0125A and TC- 40A +0.01254. What is the optimal level of activity? Select one a.300 b400 c.100 d.500 200

Consider an activity A that has the following marginal benefit (MB) and marginal cost (MC) functions: MB - 50 - 0.025A and MC 40 + 0.0254 and the following total benefit (TB) and total cost (TC) functions: TB 50A - 0.0125A and TC- 40A +0.01254. What is the optimal level of activity? Select one a.300 b400 c.100 d.500 200

Macroeconomics

13th Edition

ISBN:9781337617390

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter1: What Economics Is About

Section: Chapter Questions

Problem 3WNG

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