Suppose the extra cost for a company to advertise for one extra day each week in the local newspaper is $200.Then, the company should advertise on that additional day if it can generate additional revenue of $200 each week.

Question

Quizplus · Accepted Answer

Since the extra cost and additional revenue are equal at $200, it makes sense for the company to advertise on the additional day as long as it can generate at least $200 in additional revenue. Therefore, the statement is true.

Suppose the Extra Cost for a Company to Advertise for One