The increase in cost that accompanies a unit increase in output; the partial derivative of the cost function with respect to output. Additional cost associated with producing one more unit of output
(Ekonomi) In economics and finance, marginal cost is the change in total cost that arises when the quantity produced changes by one unit. Mathematically, the marginal cost (MC) function is expressed as the derivative of the total cost (TC) function with respect to quantity (Q). Note that the marginal cost may change with volume, and so at each level of production, the marginal cost is the cost of the next unit produced
How much it costs to produce just one more unit of whatever is produced (in this case, one kilowatt on electricity) - includes variable costs (labor/raw materials) - does not include capital cost of factory - used to determine whether company is losing money
The change in total costs resulting from the delivery of one additional therm of gas to a customer on the utility system, referred to as "volumetric cost "
In accounting, the additional total expense incurred as a result of producing one additional unit of an existing product or service Also known as incremental cost
of a good or service is how much it costs to produce just one more unit of it The marginal cost if derived from the variable costs -- the extra labor and raw materials, for example -- and does not include fixed costs, such as the capital cost of a factory
(Hackett, 1998, chapter 4) The increase in total cost that occurs as a consequence of a small (one-unit) increase in production output (Economists expect that a rational, profit maximizing business decision-maker will expand production until marginal cost equals the price that he receives for that last unit of production )
the additional cost corresponding to an additional unit of output produced, calculated by dividing the price of a marginal input by the marginal product of that input