A Restaurant That Will Ship Barbecue Charges $8 Per Pound

question 14

Multiple Choice

A restaurant that will ship barbecue charges $8 per pound of ribs plus a $20 shipping charge to deliver the ribs. Write the function that represents the cost of shipping barbecue for any quantity, in pounds, of ribs. Then evaluate that function for shipping 5 pounds of ribs.

• A)C(x) = 28x; C(5) = 140
• B)C(x) = 20x + 8; C(5) = 108
• C)C(x) = 8x + 20; C(5) = 33
• D)C(x) = 8x + 20; C(5) = 60

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Definitions:

Optimal Pigouvian Tax

A tax designed to correct the inefficiencies in a market that experiences externalities, set at a level that equates the marginal social cost of the externality with the marginal social benefit.

Socially Optimal

Pertains to a condition where resources are allocated in the most efficient manner from the perspective of society as a whole.

Pollution

The presence or introduction of harmful substances or contaminants into the natural environment, causing adverse effects.

Emissions Standard

Regulations that set limits on the amount of pollutants that can be emitted from sources like vehicles and factories.