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    				| 1. | (2) Give formula of Marginal cost. | 
| Answer» Marginal costis the increase or decrease in total productioncostif output is increased by one more unit. Theformulato obtain themarginal costis change incosts/change in quantity. If thepriceyou charge per unit is greater than themarginal costof producing one more unit, then you should produce that unit. | |