Use the table below to answer the following questions.
Table 10.3.1
-Refer to Table 10.3.1,which gives Tania's Teapots' total cost schedule.When output increases from 4 to 9 teapots,the marginal cost of one of the 5 teapots is
A)$4.25.
B)$4.
C)$25.
D)$6.25.
E)$5.

Question

Use the table below to answer the following questions.
Table 10.3.1 
-Refer to Table 10.3.1,which gives Tania's Teapots' total cost schedule.When output increases from 4 to 9 teapots,the marginal cost of one of the 5 teapots is
A)$4.25. 
B)$4. 
C)$25. 
D)$6.25. 
E)$5.

Quizplus · Accepted Answer

The marginal cost is calculated by the change in total cost divided by the change in quantity. If the total cost for 4 teapots is $20 and for 9 teapots is $45, the marginal cost for one teapot is ($45-$20)/(9-4) = $5.

Use the Table Below to Answer the Following Questions