Use the following information to answer the following questions.

-Refer to Bicycles. The marginal benefit of the fourth bicycle is:

Question

Use the following information to answer the following questions.
 
-Refer to Bicycles. The marginal benefit of the fourth bicycle is:

Quizplus · Accepted Answer

The marginal benefit of the fourth bicycle is $50, as it is the difference between the total benefit of owning four bicycles ($1,400) and the total benefit of owning three bicycles ($1,350). Therefore, it is not worth purchasing the fourth bicycle as its marginal benefit is less than its cost. The best choice is to stop purchasing bicycles after the third one.

Use the Following Information to Answer the Following Questions