Question

Marginal cost can be defined as the change in rev: 06_26_2018 Multiple Choice total fixed cost resulting from the production of an additional unit of output. total cost resulting from the production of an additional unit of output. average total cost resulting from the production of an additional unit of output. average variable cost resulting from the production of an additional unit of output.

Answer 1

Answer:

total cost resulting from the production of an additional unit of output.

Explanation:

The marginal cost is the cost in which there is a change in total cost while producing an extra unit of output

The formula is used for computing the marginal cost is

Marginal cost = change in production cost ÷ change in quantity

By dividing the change in production cost from the change in quantity we can get the marginal cost and the same is to be considered

hence, the second option is correct