What is the level of net benefits when 20 units are produced?

$\begin{array} { c c c }
\text { No. Units Produced } & \text { Total Revenue } & \text {Total Costs } \
0 & 0 & 0 \
10 & 120 & 40 \
20 & 200 & 100 \
30 & 270 & 170 \
40 & 310 & 260 \
50 & 330 & 370 \
\end{array}$
A) -100
B) 80
C) 100
D) 10

Question

What is the level of net benefits when 20 units are produced?

$\begin{array} { c c c } 
 \text { No. Units Produced } & \text { Total Revenue } & \text {Total Costs  } \
 0 & 0 & 0 \
 10 & 120 & 40 \
 20 & 200 & 100 \
 30 & 270 & 170 \
 40 & 310 & 260 \
 50 & 330 & 370 \
\end{array}$
A) -100
B) 80
C) 100
D) 10

Quizplus · Accepted Answer

To calculate the net benefits, we need to subtract the total costs from the total revenue. Therefore, we have:
- When 20 units are produced, Total Revenue = $200 and Total Costs = $100
Net Benefits = Total Revenue - Total Costs = $200 - $100 = $100
Hence, the level of net benefits when 20 units are produced is $100.
Looking at the table, producing 20 units gives the highest net benefits among all the levels of production, and hence it is the best choice. Therefore, the answer is C.

What Is the Level of Net Benefits When 20 Units