Asked by
Victoria Ayala
on Nov 25, 2024
Verified
In comparing the changes in TC and TVC associated with an additional unit of output, we find that
A) the change in TVC is equal to MC, while the change in TC is equal to TFC.
B) the change in TC exceeds the change in TVC.
C) the change in TVC exceeds the change in TC.
D) both TC and TVC changes are equal to MC.
Marginal Cost
The extra expense incurred from the production of an additional unit of a product or service.
TVC
Total Variable Costs; the sum of all costs that vary with the level of production, such as materials and labor directly involved in creating a product.
- Understand the interrelation among Total Cost (TC), Total Variable Cost (TVC), and Marginal Cost (MC).
Verified Answer
MS
Learning Objectives
- Understand the interrelation among Total Cost (TC), Total Variable Cost (TVC), and Marginal Cost (MC).