What is meant by marginal cost?
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Answer / shamba
Marginal cost is a variable cost.
Marginal cost i.e variable cost will very due to increase
or decrease in qty of production.
| Is This Answer Correct ? | 1 Yes | 1 No |
Answer / radhakrishna
Marginal Cost is the additional cost incurred in producing
an additional unit. In simple terms since the fixed costs
doesnot vary with production of an additional unit it is
the variable cost per unit.
| Is This Answer Correct ? | 1 Yes | 1 No |
Answer / amit dokania
Marginal cost is a cost that should be incurred due to
additional unit of output. In another word we can say that
change in Total cost due to change in output. It’s totally
related to the variable cost .Example. ---When the total
cost 100 at 5 unit and variable cost 120 at 6 unit output.
The marginal cost = %change in Total cost / %change in
output i.e.20/1=20.
| Is This Answer Correct ? | 0 Yes | 1 No |
Answer / ramana
marginal cost is additional cost to produce an aditional
unit of out put.it is also called variable cost.
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Answer / tapas paul
MARGINAL COST MAY BE DEFINED FROM THE TWO ASPECTS:
1.ACCOUNTANT ASPECT- UNDER THIS ASPECT MARGINAL COST MEANS
VARIABLE COST ONLY.VARIABLE COST IS CONSISTENT WITH THE
ELEMENTS OF MATERIAL,LABOUR AND OVERHEAD.
2.ECONOMIC ASPECTS- ANY AMMOUNT BY WHICH AGGREGATE COST ARE
CHANGED IF THE VOLUME OF OUTPUT IS INCREASED OR DECREASED
BY ONE UNIT.
SYMBOLICALLY,
M.C=dC/dQ where dC=>change in cost,dQ=>change in quantity.
| Is This Answer Correct ? | 0 Yes | 3 No |
Answer / ramnath
Marginal cost is nothing but a aggregate of variable cost.
| Is This Answer Correct ? | 0 Yes | 4 No |
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