The Optimal Level of Output May Be Defined as That

question 14

Multiple Choice

The optimal level of output may be defined as that level of output where

• A) average benefit exceeds average cost by the greatest amount.
• B) total benefit equals total cost.
• C) marginal benefit exceeds marginal cost by the greatest amount.
• D) the marginal benefit of the last unit purchased equals its marginal cost.
• E) it is impossible to define optimal in any meaningful way.