Quarts of orange juice at a local grocery store are priced at one for $3.00, or two for $5.00. The marginal cost of buying a second quart of orange juice:
A)equals $2.00.
B)equals $2.50.
C)equals $3.00.
D)equals $5.00.

Question

Quarts of orange juice at a local grocery store are priced at one for $3.00, or two for $5.00. The marginal cost of buying a second quart of orange juice:
A)​equals $2.00.
B)​equals $2.50.
C)​equals $3.00.
D)​equals $5.00.

Quizplus · Accepted Answer

The marginal cost of buying a second quart of orange juice is the additional cost incurred by buying the second quart. If one quart costs $3.00 and two quarts cost $5.00, the additional cost for the second quart is $5.00 - $3.00 = $2.00.

Quarts of Orange Juice at a Local Grocery Store Are