At capacity, the marginal cost of providing another ticket is

Question

Quizplus · Accepted Answer

When a firm reaches capacity, it means that all available resources are being fully utilized. Therefore, in order to produce an additional unit, the firm must incur additional costs such as hiring more workers, purchasing more raw materials, and increasing overhead expenses. As a result, the marginal cost of providing another ticket is very much higher than it was before capacity was reached.

At Capacity, the Marginal Cost of Providing Another Ticket Is