Cerdeñola, Jane Paula C.
1798 BEPMC 311
Marginal
Cost Total Total Net Marginal Marginal
Net
Variable Benefit Cost Benefit Benefit Cost
Benefit
0 0 0 0 - - -
1 200 10 190 200 10 190
2 380 30 350 180 20 160
3 540 60 480 160 30 130
4 680 100 580 140 40 100
5 800 150 650 120 50 70
6 900 210 690 100 60 40
7 980 280 700 80 70 10
8 1040 360 680 60 80 -20
9 1080 450 630 40 90 -50
10 1100 550 550 20 100 -80
TB-TC Approach
1100 1080
1040
1000 980
900 900
800 800
Number of Soaps
700 680
600
540
500
450
400 380 360
300 280
200 200 210
150
100 100
0 1 2 3 4 5 6 7 8 9 10
Cost Variable
Total Benefit
Total Cost
NET BENEFIT
800
700 690 700
680
650
630
600
580
Number of Soaps
500
480
400
350
300
200 190
100
0 1 2 3 4 5 6 7 8 9 10
Cost Variable
Net Benefit
MB, MC, & MNB
250
200 200
190
180
160 160
150
140
130
120
Number of Soaps
100 100 100
90
80 80
70 70
60 60
50 50
40 40 40
30
20
10 10
0 0
0 1 2 3 4 5 6 7 8 9
-20 10
-50 -50
-100
Cost Variable
Marginal Benefit
Marginal Cost