For the Cost Function C(Q)= 500 + 12Q + 4Q²

question 116

Multiple Choice

For the cost function C(Q) = 500 + 12Q + 4Q² + Q³,what is the marginal cost of producing the eighth unit of output?

• A) $184
• B) $268
• C) $524
• D) $852

---

Definitions:

Present Value

The current value of a future sum of money or stream of cash flows, given a specified rate of return.

Compound Interest

The addition of interest to the principal sum of a loan or deposit, where the interest that has been added also earns interest.

Equal Payments

A repayment structure where payments are the same amount each period, as seen in some loans and mortgages.

Annuity Due

An annuity whose payments are made at the beginning of each period.