1. At 200 units of activity marginal benefit is $____ and Marginal cost is$______2. Adding the 200th unit of the activity causes the net benefit to ____________(increase,decrease)by$_________3.At 700 units of the activity the marginal benefit is $_________ and marginal cost is$__________4. Subtracting the 700th unit of the activity causes net benefit to _______(increase,decrease)by $__________5. The optimal level of the activity is _____________ units . At the optimal level of the activity ,marginal benefit is $______________ and marginal cost is$_________

Use the graph below to answer the following questions: 12 MC 10 8 Marginal benefit and marginal cost (dollars) 6 MB 2 0 200 400 600 800 Level of activity (A)