Read the two statements and choose the correct option.
I. For $C(x) = 300 + 7x$ , the marginal cost is ₹7 at every level of output.
II. Raising the fixed cost raises the marginal cost.

Only ICorrect answerYour answerOnly IICorrect answerYour answerBoth I and IICorrect answerYour answerNeither I nor IICorrect answerYour answer

Show the answer and explanation

CorrectNot quiteAnswer A

Correct answer: A

I: $C'(x) = 7$ , a constant. True.
II: a constant's derivative is 0, so the fixed cost never enters the marginal cost. False.

Ten questions from Rate of Change, Marginal Cost & Revenue, at your own pace.

Ten questions from Rate of Change, Marginal Cost & Revenue, at your own pace.

Read the two statements and choose the correct option.I. For C(x)=300+7xC(x) = 300 + 7xC(x)=300+7x, the marginal cost is ₹7 at every level of output.II. Raising the fixed cost raises the marginal cost.