-According to this figure, an individual's:
A) total benefit from this activity increases up to five units and then decreases.
B) total benefit from this activity exceeds total cost by the greatest amount at five units.
C) total cost from this activity decreases up to five units and then increases.
D) all of the above.

Question

-According to this figure, an individual's:
A) total benefit from this activity increases up to five units and then decreases. 
B) total benefit from this activity exceeds total cost by the greatest amount at five units. 
C) total cost from this activity decreases up to five units and then increases. 
D) all of the above.

Quizplus · Accepted Answer

The correct answer is B because the total benefit exceeds the total cost by the greatest amount at five units, indicating the optimal level of activity for maximizing net benefit. Choices A and C are incorrect as they misinterpret the relationship between total benefit, total cost, and the number of units.

-According to This Figure, an Individual's