Question: The benefit from performing a certain activity follows T B ( A ) = 4 2 * A - 8 . 4 * A 2
The benefit from performing a certain activity follows where is a measure of the level of activity performed.
At the same time, this activity involves a cost which follows
Answer, for this activity:
The net benefit, as a function of is
The marginal benefit, as a function of is
The marginal cost, as a function of is
The optimal level of activity is
The net benefit at the optimum is
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