Which of the following statements is correct? In economics, a marginal cost is:
A) The cost of producing one additional item
B) The amount of profit that can be made by incurring the cost of one additional item
C) Total costs divided by total items produced
D) Fixed costs divided by target profit

Question

Quizplus · Accepted Answer

Marginal cost is the additional cost incurred by producing one more unit or item. It takes into account the change in total cost when production increases by one unit.

Which of the Following Statements Is Correct? in Economics, a Marginal