Figure 2.4 -Joe Runs a Business and Needs to Decide How Many

Multiple Choice

Figure 2.4
-Joe runs a business and needs to decide how many hours to stay open.Figure 2.4 illustrates his marginal benefit of staying open for each additional hour.Suppose that we observe Joe staying open 4 hours per day.If he is following the marginal principle,what must his marginal cost be?

A) $16
B) $24
C) $32
D) $40