The table below shows the total benefits and costs of five possible plans (each of increasing scope)


Question: The table below shows the total benefits and costs of five possible plans (each of increasing scope) for a hospital to be built on a particular site.

Plan Benefit Cost
A 50 20
B 90 50
C 140 90
D 210 150
E 280 230

a) Indicate which plan should be adopted, using the marginal benefit equals marginal cost rule.

b) Confirm your answer in part (a) by computing each project's net benefit.

Price: $2.99
Solution: The solution consists of 1 page
Deliverables: Word Document

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