$\text { Table } 30 \mathrm{a}$
$\begin{array}{|rrr|}\hline \text { Output } & {\text { Fixed Costs }} & \text { Variable Costs } \\\hline 0 & \$ 200 & \$ 0 \\\hline 1 & \$ 200 & \$ 100 \\\hline 2 & \$ 200 & \$ 225 \\\hline 3 & \$ 200 & \$ 375 \\\hline 4 & \$ 200 & \$ 550 \\\hline 5 & \$ 200 & \$ 750 \\\hline 6 & \$ 200 & \$ 975 \\\hline 7 & \$ 200 & \$ 1,225 \\\hline 8 & \$ 200 & \$ 1,500 \\\hline\end{array}$
-Using the data in Table 30a, find the marginal cost of producing the 8^th unit of output.

Question

\text { Table } 30 \mathrm{a}

\begin{array}{|rrr|}\hline \text { Output } & {\text { Fixed Costs }} & \text { Variable Costs } \\\hline 0 & \$ 200 & \$ 0 \\\hline 1 & \$ 200 & \$ 100 \\\hline 2 & \$ 200 & \$ 225 \\\hline 3 & \$ 200 & \$ 375 \\\hline 4 & \$ 200 & \$ 550 \\\hline 5 & \$ 200 & \$ 750 \\\hline 6 & \$ 200 & \$ 975 \\\hline 7 & \$ 200 & \$ 1,225 \\\hline 8 & \$ 200 & \$ 1,500 \\\hline\end{array}

-Using the data in Table 30a, find the marginal cost of producing the 8^th unit of output.

Quizplus · Accepted Answer

The marginal cost of producing the 8th unit of output is calculated by the increase in total cost (fixed costs + variable costs) from producing 7 units to 8 units. From the table, the total cost of producing 7 units is $200 (fixed) + $1,225 (variable) = $1,425. The total cost of producing 8 units is $200 (fixed) + $1,500 (variable) = $1,700. The marginal cost is the difference, $1,700 - $1,425 = $275.

Table 30a\text { Table } 30 \mathrm{a} Table 30a -Using the Data in Table 30a, Find the Marginal Cost

$\text { Table } 30 \mathrm{a}$ -Using the Data in Table 30a, Find the Marginal Cost