Chapter 11.2, Problem 8E

A certain cost function has the following graph:

Items

a. The associated marginal cost is

(A) increasing, then decreasing.

(B) decreasing, then increasing.

(C) always increasing.

(D) always decreasing.

b. When $x=100$, the marginal cost is

(A) greater than the average cost.

(B) less than the average cost.

(C) approximately equal to the average cost.

c. The cost of 150 items is

(A) approximately $4,400 and increasing at a rate of about $40 per item.

(B) approximately $40 and increasing at a rate of about $4,400 per item.

(C) approximately $4,400 and increasing at a rate of about $1 per item.

(D) approximately $1 and increasing at a rate of about $4,400 per item