Marginal cost is equal to
A) the total cost of a firm's production.
B) total cost minus fixed cost.
C) a cost that is not related to the quantity produced.
D) the change in total cost that results from a one-unit increase in output.
E) the change in fixed cost that results from a one-unit increase in output.

Question

Quizplus · Accepted Answer

Marginal cost refers to the additional cost of producing one more unit of a good or service. It is calculated as the change in total cost that results from a one-unit increase in output. Therefore, option D is the correct answer.

Marginal Cost Is Equal to