If a small change in output results in a large change in marginal cost, the marginal cost curve is _______, which makes accurate forecasts _______valuable.

Question

Quizplus · Accepted Answer

If a small change in output results in a large change in marginal cost, the marginal cost curve is steep. This makes accurate forecasts less valuable because even small deviations in output can result in significant changes in costs, making it difficult to predict profitability and other financial outcomes.

If a Small Change in Output Results in a Large