Calculate the cost of producing one additional unit from changes in cost and quantity.
Marginal Cost
?
The extra cost associated with producing one additional unit.
$50per unit
Incremental cost of producing one more unit.
Change in Cost
?
The full cost at a production level before dividing by units or comparing to another level.
$50,000
Across 1,000 additional units.
Current Avg. Cost
?
The full cost at a production level before dividing by units or comparing to another level.
$125per unit
Future Avg. Cost
?
The full cost at a production level before dividing by units or comparing to another level.
$88per unit