Exhibit 7-11 Short-Run Cost Curves Schedule for Pizzeria's Hourly Production

question 51

Multiple Choice

Exhibit 7-11 Short-run cost curves schedule for pizzeria's hourly production $$\begin{array} { | c | c | c | } \hline \begin{array} { c } \text { Total } \\\text { Product }\end{array} & \begin{array} { c } \text { Total } \\\text { Variable Cost }\end{array} & \begin{array} { c } \text { Total } \\\text { Cost }\end{array} \\\hline 0 \text { pizzas } & \$ 0 & \$ 20 \\10 & 50 & 70 \\20 & 80 & 100 \\30 & 130 & 150 \\40 & 230 & 250 \\\hline\end{array}$$
-In Exhibit 7-11, what is the marginal cost of increasing production from 10 to 20 pizzas per hour?

• A) $2 per pizza.
• B) $3 per pizza.
• C) $4 per pizza.
• D) $5 per pizza.

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Definitions:

Opening Battle

The first engagement or conflict in a war or series of battles, setting the tone and often influencing the course of the subsequent conflict.

Second Continental Congress

A convention of delegates from the Thirteen Colonies which started meeting in the spring of 1775, soon after warfare in the American Revolutionary War had begun.

Continental Army

The revolutionary war army authorized by the Continental Congress in 1775 to fight against British rule, commanded by General George Washington.