Refer to the Following Figure, Which Shows Marginal Benefits (MB)

Multiple Choice

Refer to the following figure, which shows marginal benefits (MB) and marginal cost (MC) of activity A.

-If the decision maker is choosing 300 units of activity A,

A) this level maximizes net benefits.
B) if the activity is increased by one unit, net benefits will increase by $20.
C) if the activity is decreased by one unit, net benefits will decrease by $20.
D) both b and c
E) all of the above