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Given,MB = Marginal Benefit and MC = Marginal Cost

Question 39

Multiple Choice

Given,MB = Marginal benefit and MC = Marginal cost.Then,for a positive decision variable in the optimal solution,which of the following relations holds?


A) MB = MC = 0
B) MB - MC > 0
C) MB - MC = 0
D) MB - MC < 0
E) MB - MC ≠ 0

Correct Answer:

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