Marginal Cost Is the Change in Total Cost That Results

question 88

Multiple Choice

Marginal cost is the change in total cost that results from

• A)reducing the total number of units produced.
• B)increasing the number of units produced by one percent.
• C)increasing the number of products in a product line.
• D)producing and marketing one additional unit of a product.
• E)the percentage change that results from changing a product feature or service benefit to reduce costs.

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Definitions:

Federal Reserve Bank

The central banking system of the United States, which regulates the U.S. monetary and financial system.

Salt Lake City

The capital and most populous city of Utah, known for its historic significance to the Church of Jesus Christ of Latter-day Saints and its nearby saltwater lake.

Kansas City

a city located in the state of Missouri, known for its jazz heritage, cuisine, and cultural contributions.

Federal Reserve

The central bank of the United States, tasked with regulating the U.S. monetary and financial system.