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Realationship between TC and MC

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Realationship between TC and MC

Posted by Gaurav Singh 5 years, 7 months ago

CBSE > Class 11 > Economics

1 answers

A S 7 years ago

the relation between total cost and marginal cost: (i) Marginal cost is estimated as the difference between total costs of two successive units of output. Thus, MCn = TCn – TCn-1 (ii) When MC is diminishing, TC increases at a diminishing rate. (iii) When MC is rising, TC increases at an increasing rate. (iv) When MC reaches its lowest poin, TC stops increasing at a decreasing rate. Briefly, MC is the rate of TC.

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