Based on the information in the text and the table, the two students … | Verbal SAT Question

Verbal·Information and Ideas·Command of Evidence

hard

Value, Cost, and Seigniorage of US Coins by Denomination, 2023

Denomination	Total value of units produced (in millions of dollars)	Gross cost (in millions of dollars)	Seigniorage (in millions of dollars)	Seigniorage per $1 issued (dollars)
One-cent	41.4	127.4	−86.0	−2.08
Five-cent	70.8	163.4	−92.6	−1.31
Ten-cent	266.6	141.1	125.5	0.47
Quarter-dollar	568.4	264.4	304.0	0.53

Issuing a kroner coin yields positive seigniorage—the profit generated when the face value of a coin exceeds the unit cost of producing it—for Denmark’s government, which in turn can be used to fund such services as education. Some countries, such as Finland, have ceased manufacturing certain coins because their production created negative seigniorage. In an economics class discussing the data in the table, one student argues that in 2023, the one-cent coin was the least financially sensible for the US to produce, while another student argues that the five-cent coin was.

Based on the information in the text and the table, the two students most likely disagree about the answer to which question?

If issuing a given coin results in positive seigniorage per dollar but not as much positive seigniorage per dollar as issuing a different coin does, does it make financial sense to continue issuing the first coin?

When evaluating the financial implications of issuing a coin, which is more important, the total seigniorage from issuing that coin or the seigniorage per dollar when issuing that coin?

If issuing a given coin results in negative seigniorage per dollar issued, can that be changed to positive seigniorage per dollar issued by reducing the cost of issuing the coin?

When determining whether it makes financial sense to issue a given coin, which is more important, the total value of the units of that coin produced or the gross cost of issuing that coin?