A firm's marginal cost is the:
A)ratio of the change in fixed cost to the change in the quantity of output.
B)slope of the total cost curve.
C)slope of the average variable cost curve.
D)ratio of the change in total output to the change in the quantity of labor.

Question

Quizplus · Accepted Answer

Marginal cost is the change in total cost that comes from producing one additional unit of output. This is represented by the slope of the total cost curve, as it shows the change in total cost corresponding to a change in output. Choices A, C, and D are not correct definitions of marginal cost.

A Firm's Marginal Cost Is The