John Receives a Marginal Benefit of $80 from One Satellite

question 19

Multiple Choice

John receives a marginal benefit of $80 from one satellite.Nick receives a marginal benefit of $50 from one satellite.Christina receives a marginal benefit of $65 from one satellite.John,Nick,and Christina are the only people in the economy What is the economy's marginal social benefit from one satellite?

• A)$30
• B)$195
• C)$15
• D)$80
• E)$65

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Definitions:

Interest Payment

A payment made to a lender by a borrower in exchange for the use of borrowed money, typically calculated as a percentage of the principal.

Accumulated Depreciation

The cumulative depreciation of an asset up to a single point in its life, reflecting the asset's loss in value due to wear and tear, age, or obsolescence.

Operating Activities

The cash flows related to the core operations of a business, including revenues and expenses.

Indirect Method

The indirect method is a technique used in financial accounting to prepare the cash flow statement, where net income is adjusted for non-cash transactions and changes in working capital to find net cash from operating activities.