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Use this data on loss control expenditures to answer questions 14 and 15. Loss Control Expenditures Number of Worker Injuries Average Injury Severity $6,500 $0
Use this data on loss control expenditures to answer questions 14 and 15.
Loss Control Expenditures | Number of Worker Injuries | Average Injury Severity
$6,500 |
$0 | 280 | |
$80,000 | 238 | |
$160,000 | 207 | |
$240,000 | 182 | |
$320,000 | 170 | |
$400,000 | 165 |
14. What is the marginal benefit of increasing loss control expenditures from $80,000 to $160,000?
$1,547,000
$1,345,500
$273,000
$201,500
15. What is the economically efficient level of loss control spending?
$160,000
$240,000
$320,000
$400,000
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