The Marginal Cost of an Activity Is The

question 70

Multiple Choice

The marginal cost of an activity is the:

• A) change in the cost of the activity that results from an extra unit of the activity.
• B) same as the total cost of the activity.
• C) ratio of total cost to the level of the activity.
• D) change in the level of the activity divided by the change in the cost of the activity.

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Definitions:

Special Promotion

A marketing campaign offering unique deals or discounts to boost sales or consumer interest.

Wholesaler

A person or entity that buys goods in large quantities from manufacturers or importers and sells them to retailers or other businesses.

Mark-Up

The percentage or fixed amount added to the cost of goods to determine the selling price.

Operating Profit

Revenue obtained through a company's principal business activities, before subtracting interest and taxes.