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1. Suppose that Caroline stops by Burger Queen to have lunch. She feels that the first hamburger is worth $8.50, the second one is worth $6.00, the third one is worth $4.25, and the fourth one is worth $3.00. The first hamburger costs her $3.00, the second one $3.50, the thirds one $4.00 and the fourth one $4.50.
(a) i) Calculate her total benefit (TB), total cost (TC) and net benefits (NB) at each level of her hamburger consumption.
ii) Determine her optimal hamburger consumption and show if her optimal amount of hamburgers maximizes her NB.
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