Marginal benefit and marginal cost are two measures of how the cost or value of a product changes. Marginal benefit impacts the customer, while marginal cost impacts the producer. Companies need to ...

Marginal cost is the change in cost to produce one additional unit. A horizontal marginal cost curve indicates stable costs for additional units. Companies aim to maintain this to minimize variability ...

One key decision every business has to make is how much of its goods or services to make available to customers. Demand functions will give you a sense of how much revenue a business can bring in ...

Sean Ross is a strategic adviser at 1031x.com, Investopedia contributor, and the founder and manager of Free Lances Ltd. A new project only makes economic sense if its discounted net present value ...

Your business's marginal revenue is the extra money made if you produce one more unit of a product or service. Knowing the marginal revenue from increasing sales can help you decide if expansion is ...

Marginal revenue measures extra income from producing one more unit. Compare marginal revenue and cost to decide on production adjustments. Track marginal revenue changes to set optimal production and ...