Answer:
$170
Explanation:
Marginal cost is defined as the cost of adding an additional cost of a product or service.
Total cost is the sum total of the cost of all the product and/or service.
Cost of producing 4 units = $150
Cost of producing the 5th unit = $20
The cost of producing one unit = $150/4
= $37.5
Total cost of producing 5 units =
Cost of producing 4 units + cost of the 5th unit
= $150 + $20
= $170
Cost of producing the 5 units = $170
