How much will per acre income increase with one treatment of the insecticide as compared to no treatment if the insecticide costs $10 per acre?

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To determine the correct increase in per acre income from using the insecticide, it's crucial to consider the relationship between the costs of treatment and the expected benefits it provides. In this case, the insecticide costs $10 per acre.

If we analyze the increase in income generated by applying the insecticide, the outcome must justify the initial expense—in other words, the income gained from increased crop yield or reduced loss from pests should exceed the treatment's cost.

When the income increase is reported as $15, this indicates that after accounting for the $10 spent on the insecticide, there is a net gain. This means that the treatment not only covers its cost but also generates an additional $5 in profit per acre. The reasoning behind this amount could be based on heightened crop resilience, increased yields, or lowered pest damage.

In contrast, if the predicted increase in income were $10, it would suggest that the treatment only breaks even with no additional surplus. An increase of $20 or $25 would imply a greater effect from the insecticide but is not supported by the cost analysis provided in this scenario, which factors in both the price of treatment and realistic expectations of yield improvement.

Therefore, an increase of $15 strikes a reasonable balance

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