Marginal Cost Is

question 20

Multiple Choice

Marginal cost is:

• A)the cost per unit of output.
• B)the increase in total cost from producing an additional unit of output.
• C)the same thing as total variable cost.
• D)is only relevant in the long-run.

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Definitions:

Quantity

Quantity refers to the amount or number of a product or service that is available or demanded in the market at a particular time.

Money Income

The total amount of monetary earnings received by an individual or household over a specified period, including wages, salaries, benefits, and other income sources.

Optimal Choices

Decisions that result in the best possible outcome, given any constraints or limitations faced.

Conditions Of Scarcity

A situation where the demand for a resource significantly exceeds its available supply, leading to allocation challenges.