What is the best definition of margina benefit? a: the possible income from producing an additional term b: the price of producing one additional unit of a good c: the additional income gained from selling an additional good d: the financial gain from business activity minus expenses

I believe the answer is: A. the possible income from producing an additional item

For example, let's say that the cost of producing lemonade is 10 cent, and it could be sold at 20 cent. Brad has 110 cents and usually only produce and sell 10      lemonade in order to obtain 1 dollar of profit. In this case the possible income that brad could has when producing 11 lemonade rather than the usual  10 is what considered to be marginal benefit.

The correct option is (A) the possible income from producing an additional term.

Further Explanation:

A marginal benefit (MB) can be referred to as a maximum amount which consumer pays willingly for additional services and goods. It is the additional utility or satisfaction that the consumer receives so he purchases additional services and goods. It basically represents the utility that the consumers associate with the ‘consumption’ of an additional unit of the product.

The marginal benefit is often called as ‘marginal revenue’ and ‘marginal utility’. Here, the term utility means the ‘level of satisfaction’ that a consumer has assigned to the particular unit being consumed.

It generally decreases as ‘consumption’ increases. Marginal Benefit increases when an individual consumes less and decreases as he consumes more of goods.  

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Answer Details:

Grade: High School

Chapter: Marginal Benefit

Subject: Social Studies

Keywords: marginal benefit, consumption, utility, level of satisfaction, consumer, goods and services, marginal revenue

bc

explanation:

the secretary of state, appointed by the president with the advice and consent of the senate, is the president's chief foreign affairs adviser. the secretary carries out the president's foreign policies through the state department and the foreign service of the united states.