lucramirez2666 lucramirez2666

06-11-2020
Business

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If the total cost of 3 units is $40 and the total cost of 4 units is $50, the marginal cost of the fourth unit is:

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abiolataiwo2015 abiolataiwo2015

09-11-2020

Answer:

$10

Explanation:

Calculation for the marginal cost of fourth unit

Using this formula

Marginal cost = Change in Total cost / Change in number of units

Let plug in the formula

Marginal cost of fourth unit = $(50 - 40) / (4 - 3)

Marginal cost of fourth unit= $10 / 1

Marginal cost of fourth unit= $10

Therefore Marginal cost of fourth unit will be $10

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