Complete the following sentence.Marginal cost is

Question

Quizplus · Accepted Answer

Marginal cost is the cost incurred by an organization in producing an additional unit of a product or service. It is the opportunity cost of an increase in an activity, as it measures the cost of increasing production. Option A is incorrect because it refers to the cost of decreasing an activity. Option B is incorrect because it refers to the total cost of reducing production, not the cost of each additional unit. Option D is incorrect because it refers to total cost, not the cost of additional units. Option E is incorrect because marginal cost and marginal benefit are related but not equal.

Complete the Following Sentence.Marginal Cost Is