Which choice best describes the data in the table that support the re… | Verbal SAT Question

Estimated Annual Costs and Profits for Biofuel Profit Models (in dollars)

Method	LCFS revenue	Total revenue	Total cost	Total profit
Heuristic	6,837,474	37,957,674	30,528,134	7,429,540
Lexicographic	9,878,474	40,998,474	30,528,134	10,470,340
Proposed	11,157,472	42,277,472	30,933,469	11,344,003

Because biofuels usually produce less carbon than fossil fuels, they can help reduce emissions. In California, biofuel producers have two sources of revenue: biofuel sales and LCFS (low carbon fuel standard) credits bought from them by companies whose fuel does not meet the state’s emissions standards. Considering how these revenue streams affect one another, Aylin Karaca et al. studied three models for how a biofuel company might maximize profit: the industry-standard heuristic model, a lexicographic model, and a model proposed by the researchers. They concluded that although their model maximized profit, it might not be the best option for firms that need to minimize cash outflows.

Which choice best describes the data in the table that support the researchers’ conclusion?

Both the total revenue and the total profit for the lexicographic model are higher than those for the heuristic model but lower than those for the proposed model.

Although the proposed model’s total profit and LCFS revenue are close in value, the lexicographic model’s total profit is much greater than its LCFS revenue.

Although the proposed model projects the greatest total profit, it also projects a higher total cost than the lexicographic model, which has the same total cost as the heuristic model but a higher total profit.

The proposed model has the highest total revenue, LCFS revenue, and total cost among the three models.