Given the Following Opportunity Loss Function,determine the Loss When 600

question 20

Multiple Choice

Given the following opportunity loss function,determine the loss when 600 units are sold. Opportunity loss = 2 (600 - X) for X ≤ 600,otherwise 0.

• A)2
• B)600
• C)1,200
• D)0
• E)300

---

Definitions:

Economic Inefficiency

A situation where resources are not allocated optimally, leading to wastage or less than maximal output in an economy.

Food, Conservation, and Energy Act

U.S. legislation enacted in 2008 aimed at governing a wide range of agricultural and food policies, including crop insurance and nutritional programs.

Target Price

A pre-set price determined by a company or government at which a product, especially in agriculture, is aimed to be sold in the market.

Countercyclical Payment

A fiscal mechanism used to reduce the economic fluctuations by providing economic support during downturns and less support during growth periods.