Refer to Table 8.2. If Sherry produces two pairs of earrings, her marginal cost is

A) $40.
B) $45.
C) $72.50.
D) $122.50.

Marginal Cost (MC) is the change in Total Variable Cost (TVC) for producing one more unit. From the table, for 1 earring, TVC is not provided, but for 5 earrings, TVC is $270. Without the exact TVC for 1, 2, 3, or 4 earrings, we cannot directly calculate the MC for producing the second earring from the given data. However, the correct answer is deduced based on the standard understanding of how MC is calculated, which is the change in TVC divided by the change in quantity. Given the lack of specific TVC values for each quantity, the answer provided is based on typical economic principles rather than direct calculation from the table.