[amp_mcq option1=”Abnormal Cost” option2=”Marginal Cost” option3=”Fixed Cost” option4=”Semi Variable Cost E. Sunk Cost” correct=”option2″]<\/p>\n
The correct answer is: B. Marginal Cost<\/strong><\/p>\n Marginal cost is the change in total cost that arises when the quantity produced changes by one unit. It is the additional cost incurred by producing one more unit of a good.<\/p>\n Abnormal cost is a cost that is not incurred in the normal course of business. It is a cost that is incurred due to some abnormal event, such as a natural disaster or a fire.<\/p>\n Fixed cost is a cost that does not change with the level of output. It is a cost that is incurred regardless of how much is produced.<\/p>\n Semi variable cost is a cost that is partly fixed and partly variable. It is a cost that changes with the level of output, but not in direct proportion to the change in output.<\/p>\n Sunk cost is a cost that has already been incurred and cannot be recovered. It is a cost that is irrelevant to future decisions.<\/p>\n Marginal cost is an important concept in economics and business. It is used to determine the optimal level of production and to make pricing decisions.<\/p>\n","protected":false},"excerpt":{"rendered":" [amp_mcq option1=”Abnormal Cost” option2=”Marginal Cost” option3=”Fixed Cost” option4=”Semi Variable Cost E. Sunk Cost” correct=”option2″]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[952],"tags":[],"class_list":["post-58285","post","type-post","status-publish","format-standard","hentry","category-costing","no-featured-image-padding"],"yoast_head":"\n