The overall cost of producing goods and services usually decreases per unit as the quantity of units made increases. Which term is used to describe the cost of producing one more unit of output?
A.
fixed cost
B.
marginal cost
C.
opportunity cost
D.
total cost
In economics, marginal cost is the change in the total cost that arises when the quantity produced is incremented by one unit; that is, it is the cost of producing one more unit of a good.
