Scenario 17.2 Consider the Information Below

Multiple Choice

Scenario 17.2
Consider the information below:
For Group K the cost of attaining an educational level y is
C_K(y) = $2,000y
and for Group M the cost of attaining that level is
C_M(y) = $4,000y.
Employees will be offered $30,000 if they have where y* is an education threshold determined by the employer. They will be offered $90,000 if they have
-Refer to Scenario 17.2. If the threshold educational level y^* is set at 20,

A) only individuals in Group K will attain it.
B) only individuals in Group M will attain it.
C) individuals in both groups will attain it.
D) no individuals will attain it.
E) some fraction of individuals in each group will attain it.