For the cost function C(Q) = 500 + 12Q + 4Q² + Q³, what is the marginal cost of producing the eighth unit of output? A)$184. B)$352. C)$524. D)$852.

Question

Quizplus · Accepted Answer

The marginal cost is the derivative of the cost function with respect to Q, evaluated at Q=8. C(Q) = 500 + 12Q + 4Q² + Q³ C'(Q) = 12 + 4² + ³ C'(8) = 12 + 4(8) + 13 = 47 Therefore, the marginal cost of producing the eighth unit of output is $352.

For the Cost Function C(Q) = 500 + 12Q