-Refer to the figure above. Undertaking the 20th unit of action, yields a surplus of benefit of _________ .

Question

Quizplus · Accepted Answer

The surplus of benefit is the difference between the total benefit and the total cost. The total benefit is the area under the demand curve, and the total cost is the area under the supply curve. The surplus of benefit is the area above the supply curve and below the demand curve. The 20th unit of action yields a surplus of benefit of $40.

-Refer to the Figure Above