Marginal Cost Definition

Below please find a definition of “Marginal Cost”

Financial Analysis Training & Glossary TermsMarginal Cost: The cost that is incurred by a company in producing an additional unit of item is termed as marginal cost. For example, the cost of producing one roller gel pen is $5 and the cost of producing two such pens is $9. The marginal cost of the increasing output by one unit is $4.

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