Marginal Resource Cost Is

question 135

Multiple Choice

Marginal resource cost is

• A) the increase in total resource cost associated with the production of one more unit of output.
• B) the increase in total resource cost associated with the hire of one more unit of the resource.
• C) total resource cost divided by the number of inputs employed.
• D) the change in total revenue associated with the employment of one more unit of the resource.

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Definitions:

Segment Margin

The net income or deficit achieved by a specific section of a company following the deduction of both direct and indirect expenses attributable to that section.

Price Per Unit

The cost assigned to a single unit of a product or service, reflecting what consumers must pay to purchase one unit.

Outside Supplier

An external entity that provides goods or services to another company, often used in the context of manufacturing or production.

Variable Cost

A cost that varies in direct proportion to changes in the level of production or sales volume, such as materials and direct labor.