A marginal cost pricing rule sets marginal cost equal to
A) minimum average variable cost.
B) price.
C) average cost.
D) marginal revenue.
E) the smaller of price or marginal revenue.

Question

Quizplus · Accepted Answer

Marginal cost pricing rule is a strategy where the price of a product is set equal to the marginal cost of producing one more unit of that product. This means the price at which the product is sold is equal to the additional cost incurred by producing one more unit of the product.

A Marginal Cost Pricing Rule Sets Marginal Cost Equal to