Asked by shuroz marasini on Jul 07, 2024
Verified
If the marginal cost of producing the seventh sports jersey is $21,then the total cost of seven sports jerseys is:
A) $21.
B) $60.
C) $147.
D) The answer cannot be determined from the information provided.
Total Cost
The complete cost of producing a specific quantity of output, combining both fixed and variable costs.
Marginal Cost
The additional cost incurred by producing one more unit of a product or service, crucial for economic decision-making and pricing strategies.
- Identify the differences between marginal cost and total variable cost, and ascertain the value of the total variable cost.
Verified Answer
ZK
Zybrea KnightJul 08, 2024
Final Answer :
D
Explanation :
The marginal cost refers to the cost of producing one additional unit, in this case, the seventh jersey. Without information on the costs of the first six jerseys or the pattern of costs, we cannot determine the total cost of seven jerseys.
Learning Objectives
- Identify the differences between marginal cost and total variable cost, and ascertain the value of the total variable cost.