A company that provides home care for the elderly is able to provide monthly service for 4 patients at a total cost of $4000 and a monthly service for 5 patients at a cost of $4400.
What is the marginal cost of providing monthly services for a 5th patient?
The marginal cost equals the change in total cost per unit change in the output. Initially, marginal cost decreases with the output. But, after some points, it starts to increase.
Answer and Explanation:
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from Intro to Business: Help and ReviewChapter 3 / Lesson 12
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