Marginal Cost
Marginal product: The change in total output attributable to the last unit of an input.
The most significant concept related to cost is marginal cost (MC). MC is the change in manufacturing cost based on adding one unit of output.
MC is the modification in costs after an assumed variation in output.
If the first input is variable, the marginal cost is the value of that input divided by its marginal product. The marginal product of an input is the change in total output attributable to the last unit of an input.
