MATH SOLVE

10 months ago

Q:
# Assume that a maker of coffee pods has a total cost function given by the following:
TC = 278 + 7q2
What is the value of marginal cost when output equals 18?

Accepted Solution

A:

The marginal cost (MC) can be found by taking the derivative of the total cost (TC) function with respect to the quantity (q), and then evaluating it at the given output level (q = 18).
Given the total cost function:
TC(q) = 278 + 7q^2
Let's find the derivative of TC with respect to q:
d(TC)/dq = d/dq (278 + 7q^2)
= 0 + 14q
= 14q
Now, evaluate the derivative at q = 18:
MC(q = 18) = 14 * 18
= 252
So, the value of the marginal cost when the output equals 18 is 252.