Farmer's income= Sale of Cotton - Cost Sale of cotton is depended on market-price (quality of cotton & supply-request) and yields (amount of cotton). Cost = Seed cost + insecticide cost (price X amount) + other costs (i.e. labor, fertilizers, other supplies; no relevance to this argument). The argument said that "the modified seed costs more than ordinary seed without producing yields of higher market value." So only left is whether or not (Seed cost of GM cotton-Seed cost of normal cotton) > (insecticide cost for GM cotton-insecticide cost for normal cotton)? Anyway, if you realize the potential logical flaw in the argument is "the amount of insecticide" = "the cost of insecticide", go straight to (B).