The table below shows the supply schedules for Fred's Pizza and Johnny's Pizza, the only sellers of pizza in the market.

-Using the table, Fred's marginal cost of the 200th slice of pizza is
A) $20.
B) $0.50.
C) $2.50.
D) $6.

Question

The table below shows the supply schedules for Fred's Pizza and Johnny's Pizza, the only sellers of pizza in the market.
 
-Using the table, Fred's marginal cost of the 200th slice of pizza is
A) $20. 
B) $0.50. 
C) $2.50. 
D) $6.

Quizplus · Accepted Answer

Marginal cost is the cost of producing one additional unit of a good. Without the specific table data, the general principle is that if the 200th slice costs $2.50 more to produce than the 199th slice, then $2.50 is the marginal cost of the 200th slice.

The Table Below Shows the Supply Schedules for Fred's Pizza