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When 5 Units of an Activity Are Chosen,the Average Benefits

Question 177

Multiple Choice

When 5 units of an activity are chosen,the average benefits are $13 and the average costs are $12.One can infer that


A) more units should be chosen.
B) 5 is the optimal amount.
C) fewer units should be chosen.
D) total benefits are less than total costs.
E) insufficient information is available to judge if 5 units are optimal or not.

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