What is the best definition of marginal cost? প্রান্তিক খরচের সর্বোত্তম সংজ্ঞা কি?

Marginal cost is the additional cost incurred when producing one additional unit of a product or service. It includes all the variable costs such as raw materials, wages, and energy consumed to produce the extra product or service.

প্রান্তিক খরচ হল একটি পণ্য বা পরিষেবার একটি অতিরিক্ত ইউনিট উত্পাদন করার সময় অতিরিক্ত খরচ। এতে সমস্ত পরিবর্তনশীল খরচ অন্তর্ভুক্ত থাকে যেমন কাঁচামাল, মজুরি এবং অতিরিক্ত পণ্য বা পরিষেবা উত্পাদন করতে ব্যবহৃত শক্তি।

Marginal cost is the additional cost incurred by producing one more unit of a good or service. It is the change in total cost that results from producing one additional unit of output. Marginal cost is an important concept in economics as it is used to determine pricing strategies, production levels, and profit maximization. It is calculated by taking the difference between the total cost of producing a certain quantity of output and the total cost of producing the next increment of output.

An example of the marginal cost would be a bakery that produces cupcakes. The total cost of producing 100 cupcakes is $100, which means the average cost of producing each cupcake is $1 ($100/100 cupcakes).

However, if the bakery decides to produce an additional 50 cupcakes, the marginal cost of each cupcake would be the cost of producing only those 50 additional cupcakes, which could be $50. Therefore, the marginal cost of producing each cupcake would be $1.50 ($50/50 cupcakes), which is higher than the average cost.

This indicates that producing additional cupcakes increases the cost per unit, and the bakery would need to decide whether the additional revenue generated by selling the extra 50 cupcakes is worth the marginal cost.

marginal revenue. At this point, the company is producing and selling the optimal quantity of goods or services, and any further production or sales would result in decreasing profits. Therefore, companies try to find this optimal point through various strategies such as cost-benefit analysis, market research, and pricing strategies. By identifying the point of maximum profit, a company can maximize its revenues and profits while minimizing its costs and expenses. This is a crucial factor for companies to achieve long-term sustainability and growth.

Marginal cost pricing is a pricing strategy in which a company charges customers the marginal (additional) cost of producing one more unit of a good or service. The idea behind this approach is that the company is not seeking to make a profit on the sale of each unit but rather to recover the cost of producing it.

The benefits of marginal cost pricing include increased efficiency in production and allocation of resources, as companies focus on producing goods and services only as long as the additional revenue generated by their sale exceeds the additional cost of producing them. This helps to ensure that resources are allocated to their most productive uses and that consumers pay a fair price for the goods and services they receive.

However, marginal cost pricing may not be appropriate in all situations, as it can be difficult to determine the true marginal cost of producing a good or service. In addition, companies may need to charge a price above marginal cost in order to earn a profit and remain viable in the long term. Ultimately, the decision to use marginal cost pricing will depend on a variety of factors, including market conditions, production costs, and the company's overall business strategy.