QUESTION 1 There are three options for Mike to spend his coming Friday evening. The table below shows Mike's benefit and cost on each activity. Option Benefit Cost Reading a book at home $20 0 Watching a movie in the cinema $60 $50 Having dinner in the restaurant $98 $80 Which of the following statement is true? O A. The opportunity cost of Mike having dinner in the restaurant this Friday evening is the economic surplus of reading a book at home. O B. The opportunity cost of Mike in watching a movie in the cinema this Friday evening is the economic surplus of having dinner in the restaurant. O C. Mike should choose to have dinner in the restaurant this Friday evening as the benefit is the highest among the three options. O D. Mike should choose to watch a movie in the cinema this Friday evening as the economic surplus is the highest among the three options. QUESTION 2 John is the owner of a factory producing solar panels in Nooneknow. John sells his products in the local market, and he would like to maximize the profit of his business. John's factory is a monopoly in the local market. The marginal cost of producing solar panels is $51, and it is a constant. The table below shows the demand for John's solar panels. Price of solar panel ($) 100 90 80 70 60 50 40 30 Quantity demanded per day 1 2 3 4 5 6 7 8 What should be the optimal price for John's solar panels? O A. $90 O B. $80 O C. $70 O D. $60