The Accompanying Table Shows a Pizzeria's Fixed Cost and Variable

question 83

Multiple Choice

The accompanying table shows a pizzeria's fixed cost and variable cost at different levels of output. Pizzas sell for $20 each.  
Between 25 and 50 pizzas per day, the pizzeria's marginal cost is ________.

• A)$4
• B)$6
• C)$8
• D)$16

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Definitions:

Real GDP

The measure of the value of all goods and services produced within a country's borders, adjusted for inflation, over a specific time period.

GDP

Gross Domestic Product, the total market value of all final goods and services produced within a country in a given period, used as a broad measure of economic performance.

Deflation

A decrease in the general price level of goods and services, often leading to increased purchasing power of money.

Real GDP

The measurement of a country's economic output adjusted for price changes (inflation or deflation), reflecting the real quantity of goods and services produced.