Use the Following to Answer Question

question 95

Multiple Choice

Use the following to answer question:
-(Table: Costs of Birthday Cakes) Use Table: Costs of Birthday Cakes.Assume that fixed costs are $10.What is the marginal cost of the fourth cake?

• A)$8
• B)$10
• C)$25
• D)$35

---

Definitions:

Natural Log

The logarithm to the base e, where e is an irrational and transcendental constant approximately equal to 2.71828.

Risk Averter

An individual or entity that prefers to avoid risk, typically choosing options with more certain outcomes over those with higher, but more uncertain, returns.

Expected Value

A calculated average of the possible outcomes of a given event, weighted by the likelihood of each outcome occurring.

Natural Log

The logarithm to the base \(e\) (where \(e\) is approximately 2.718), a constant used in mathematics and economics to model growth processes.