According to the profit-maximizing principle of marginal analysis,if the marginal benefit is _____ the marginal cost,_____.

Question

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According to the profit-maximizing principle of marginal analysis, if the marginal benefit is more than the marginal cost, an activity should be increased as it leads to an increase in net benefit. On the other hand, if the marginal benefit is less than the marginal cost, the activity should be reduced as it lowers the net benefit. When marginal benefit is equal to marginal cost, it means that the net benefit is maximized. However, since the question asks for the profit-maximizing principle, the answer is A.

According to the Profit-Maximizing Principle of Marginal Analysis,if the Marginal