Margin Cost

Marginal cost is calculated by dividing the change in total cost by the change in quantity. … Divided by the change in quantity, which is the additional 100 units. That gives us: $90100, which equals $0.90 per unit as the marginal cost.

Formula

\(MC = \frac{\Delta C}{\Delta Q}\) MC = marginal cost {Δ C} = change in cost {Δ Q} = change in quantity

SUB-CONCEPTS

FUNCTIONS

IMPACT

EXAMPLES

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