Table 13-14 -Refer to Table 13-14. What Is the Marginal Cost of Marginal

question 166

Multiple Choice

Table 13-14
-Refer to Table 13-14. What is the marginal cost of the 4th unit of output?

• A)$4
• B)$10
• C)$14
• D)$16

---

Definitions:

MR = MC Rule

The MR=MC rule states that profit maximization occurs when a firm produces at a level where marginal revenue equals marginal cost.

Price Taker

A market participant that accepts market prices as given and cannot influence those prices.

Monopolies

Market situations where a single company or entity has exclusive control over a particular product or service, leading to less competition.

Average Total Cost

The total cost of production divided by the quantity produced, representing the average cost per unit.