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Bloomberg Financial Dictionary * * * marginal cost marginal cost ➔ cost1 * * * The additional cost of one extra unit of production, e … Financial and business terms Marginal cost - The increase or decrease in a firm s total cost of production as a result of changing production by one unit. The cost can compose any of the factors of production… … Wikipedia That is, it is the cost of producing one more unit of a… … WikipediaĬost-of-production theory of value - In economics, the cost of production theory of value is the theory that the price of an object or condition is determined by the sum of the cost of the resources that went into making it. Marginal cost - A typical marginal cost curve with marginal revenue overlaid In economics and finance, marginal cost is the change in total cost that arises when the quantity produced changes by one unit. The WACC is the minimum rate of return allowable, and still meeting financial… … Wikipedia Marginal cost of capital schedule - Marginal Cost of Capital (MCC) Schedule is a graph that relates the firm’s weighted average cost of each dollar of capital to the total amount of new capital raised. (Economics) The increase in total cost of production as a result of producing one more unit of output since certain ovrhead costs are fixed, the marginal cost is almost… … The Collaborative International Dictionary of English Marginal cost - marginal cost, marginal cost of production marginal cost of production. The calculation is most often used among… … Investment dictionary The purpose of analyzing marginal cost is to determine at what point an organization can achieve economies of scale. Marginal Cost Of Production - The change in total cost that comes from making or producing one additional item. (Economics) The increase in total cost of production as a result of producing one more unit of output since certain ovrhead costs are fixed, the marginal cost … The Collaborative International Dictionary of English
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Marginal cost of production - marginal cost marginal cost, marginal cost of production marginal cost of production. Consumers would prefer that the firm and its competitors produce less of the product and charge a higher price, to internalize the external cost. This is true, for example, if the firm produces pollution (an external cost). For example, a company may have the lowest costs in "productive" terms, but the result may be inefficient in allocative terms because the "true" or social cost exceeds the price that consumers are willing to pay for an extra unit of the product.
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Allocative efficiency theory says that the distribution of resources between alternatives does not fit with consumer taste (perceptions of costs and benefits). Whether those and only those products or services are provided to consumers which they value at least as much as the (marginal) cost that the company had to incur during the production process v.