-Tom and Jerry Are the Only Members of Society

question 65

Multiple Choice

-Tom and Jerry are the only members of society. The table above shows their marginal benefits from defence satellites, a public good. If the marginal social cost of a satellite is $36, the efficient quantity of satellites is

• A) 1.
• B) 2.
• C) 3.
• D) 4.

---

Definitions:

Dividends Payable

A liability recorded on the company's balance sheet representing the amount of declared dividends that are owed to shareholders but have not yet been paid.

Financial Statements

Structured reports that detail the financial activities and conditions of a business, including the balance sheet, income statement, and cash flow statement.

Goodwill

An intangible asset that arises when a business is acquired for more than the fair value of its net identifiable assets.

Intangible Asset

An asset that lacks physical substance, such as intellectual property or brand recognition.