The diagram illustrates the production possibility curves (PPCs) for country X and country Y, which are the only two countries in the world. Each country produces only two goods, M and N. At what terms of trade would country X and country Y both gain from trading with one another?
- A1M for 0.75N
- B1M for 0.8N
- C1M for 1N
- D1M for 2N