Question

How to derive Marginal cost function from the Marginal cost graph

Answer 1

Answer:

To calculate marginal cost, divide the difference in total cost by the difference in output between 2 systems. For example, if the difference in output is 1000 units a year, and the difference in total costs is $4000, then the marginal cost is $4 because 4000 divided by 1000 is 4