If H represents the number of hours spent on an activity,then which of the following represents a marginal cost function?
A) 100 - 20H
B) 100 + 20H
C) -100 - 20H
D) -100 + 20H

Question

Quizplus · Accepted Answer

The marginal cost function represents the additional cost incurred by producing one more unit of a good or service. It is typically expressed as the derivative of the total cost function with respect to quantity. In this context, since H represents hours spent on an activity, a positive relationship between hours and cost (i.e., more hours lead to higher costs) is logical. Therefore, the function 100 + 20H correctly represents a situation where costs increase with additional hours spent on an activity.

If H Represents the Number of Hours Spent on an Activity,then