The Figure Below Shows the Marginal Pollution Abatement Cost Curves

Multiple Choice

The figure below shows the marginal pollution abatement cost curves of two firms- Company X and Company Y.

-Refer to the scenario above. Suppose the government allocates 30 pollution permits to each company and the price of each permit is $1,500. Company ________ will spend ________on buying permits.

A) X; $1,000
B) X; $1,500
C) Y; $10,000
D) Y; $15,000