Use the following to answer questions:
-(Figure and Table: Variable, Fixed, and Total Costs) Look at the figure and table Variable, Fixed, and Total Costs. The marginal cost of increasing production from 19 to 36 bushels of wheat is:
A) $23.53.
B) $11.76.
C) $22.22.
D) $11.11.

Question

Use the following to answer questions: 
-(Figure and Table: Variable, Fixed, and Total Costs) Look at the figure and table Variable, Fixed, and Total Costs. The marginal cost of increasing production from 19 to 36 bushels of wheat is:
A) $23.53. 
B) $11.76. 
C) $22.22. 
D) $11.11.

Quizplus · Accepted Answer

The marginal cost is calculated by taking the change in total cost divided by the change in quantity. If the total cost increases by $200 when production increases from 19 to 36 bushels, the marginal cost is $200 / (36 - 19) = $11.76 per bushel.

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