Quantity 
Total costs 
Total variable costs 
Marginal costs 
Average total costs 
Average variable costs 
Average fixed costs 
1 
$20 

2 
$6 
$5 

3 
$21 

4 
$10.50 
$2.50 

5 
$9 
Given the table, what is the marginal cost of producing the fourth unit?
a. $20
b. $10
c. $5
d. $11
e. #31.50
Answer: d. $11
Quantity 
Total costs ($) 
Total variable costs ($) 
Marginal costs ($) 
Total fixed costs ($) 
Average total costs ($) 
Average variable costs ($) 
Average fixed costs ($) 
1 
20 
 
10 

2 
20+6 = 26 
2610=16 
6 
2*5=10 
5 

3 
31 
21 
3126=5 
10 

4 
10.50*4 =42 
4210=32 
4231 = 11 
10 
10.50 
2.50 

5 
10 
9 
Formulas used:
TC = TFC + TVC
MC = TC_{n} – TC_{n1}
TC = ATC * Q
TFC = AFC * Q
TVC = TC – TFC
Get Answers For Free
Most questions answered within 1 hours.