Marginal cost
A)Is the change in total output from hiring one more factor of production.
B)Is the change in total cost associated with a one-unit increase in production.
C)Falls when there are diminishing returns.
D)Is the change in the total cost when hiring one more factor of production.

Question

Quizplus · Accepted Answer

Marginal cost is the change in total cost associated with a one-unit increase in production. It is calculated by dividing the change in total cost by the change in quantity produced.

Marginal Cost