If the marginal rent cost of moving from Apartment 1 to Apartment 2 is −$60 and the marginal commuting cost of moving from Apartment 1 to Apartment 2 is $40,moving from Apartment 1 to 2 will ________.
A) cost the renter $60 more in rent and $40 more in commuting
B) save the renter $60 more in rent and $40 more in commuting
C) save the renter $60 in rent but cost $40 more in commuting
D) cost the renter $60 more in rent but save $40 in commuting

Question

Quizplus · Accepted Answer

The marginal rent cost of moving is −$60, indicating a saving of $60 in rent, and the marginal commuting cost is $40, indicating an additional cost of $40 in commuting.

If the Marginal Rent Cost of Moving from Apartment 1