The following accompanying table shows the relationship between the speed of a computer's CPU and its benefits and costs. Assume that all other features of the computer are the same (that is, CPU speed is the only source of variation), and only the CPU speeds listed below are available for purchase. $\begin{array}{|c|c|c|c|c}
\hline \text { CPU GHz } & \text { Total Benefit } & \text { Marginal Benefit } & \text { Total Cost } & \text { Marginal Costs } \
\hline 2.0 & \$ 1,000 & & \$ 900 & \
\hline 2.5 & \$ 1,400 & & & \$ 100 \
\hline 3.0 & & \$ 300 & \$ 1,200 \
\hline 3.5 & \$ 1,900 & & \$ 1,500 & \
\hline 4.0 & \$ 2,000 & & & \$ 400 \
\hline
\end{array}$
The total benefit of a 3.0GHz computer is:

Question

The following accompanying table shows the relationship between the speed of a computer's CPU and its benefits and costs. Assume that all other features of the computer are the same (that is, CPU speed is the only source of variation), and only the CPU speeds listed below are available for purchase.  $\begin{array}{|c|c|c|c|c}
\hline \text { CPU GHz } & \text { Total Benefit } & \text { Marginal Benefit } & \text { Total Cost } & \text { Marginal Costs } \
\hline 2.0 & \$ 1,000 & & \$ 900 & \
\hline 2.5 & \$ 1,400 & & & \$ 100 \
\hline 3.0 & & \$ 300 & \$ 1,200 \
\hline 3.5 & \$ 1,900 & & \$ 1,500 & \
\hline 4.0 & \$ 2,000 & & & \$ 400 \
\hline
\end{array}$  
The total benefit of a 3.0GHz computer is:

Quizplus · Accepted Answer

The total benefit of a 3.0GHz computer can be found by observing the pattern in the table. The total benefit increases as the CPU speed increases. From 2.0GHz to 2.5GHz, the total benefit increases from $1,000 to $1,400, indicating a marginal benefit of $400 for that increase. Given the marginal benefit of $300 for the increase from 2.5GHz to 3.0GHz, we add this to the total benefit of the 2.5GHz CPU to find the total benefit for the 3.0GHz CPU, which is $1,400 + $300 = $1,700.

The Following Accompanying Table Shows the Relationship Between the Speed of a Computer's