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CPT 595 views 5 replies

a firms average total cost is 300 at 5 units of output & 320 at 6 units of output the marginal cost of producing the 6th unit is :

a).20                                                                                                                                                                   b).120

c).320                                                                                                                                                                  d)420.

Replies (5)

a).20   

Originally posted by : Future CA CS

a).20   

AGREE

Agree with both.....
obviously its 20 as it is incured to produce additional 1 unit(5 to 6 unit)
Answer is a) 20


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