The Data in the Table Show the Marginal Costs and Marginal

question 93

Multiple Choice

The data in the table show the marginal costs and marginal benefits to a city for five different levels of pollution control. Refer to the above table.What would cause the optimal level of pollution abatement to be 600 tons?

• A) An increase in marginal costs by $150,000 at each level
• B) An increase in marginal benefits by $200,000 at each level
• C) A decrease in marginal costs by $150,000 at each level
• D) A decrease in marginal benefits by $100,000 at each level

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Definitions:

Cash Receipts Journal

A specialized accounting journal used to keep track of all cash inflows or receipts of a business.

General Journal

A comprehensive accounting ledger that records all types of financial transactions, before posting to specific accounts in the general ledger.

Expanded Purchases Journal

A detailed record used in accounting to track all purchase transactions, including more comprehensive data than a standard journal.

Accounts Payable

A liability to a creditor, usually for purchases of goods and services.