The given statement is correct.MC is not at all affected by total fixed cost (TFC). MC is addition to TC or TVC when one more unit of output is produced. As TFC remains same with increase in output ,MC is independent of fixed cost and is affected just by change in variable costs.
“MC can be calculated both from total cost and total variable cost and is not affected by total fixed cost.” Discuss.
Answers
Arun khedkar
The given statement is correct.MC is not at all affected by total fixed cost (TFC). MC is addition to TC or TVC when one more unit of output is produced. As TFC remains same with increase in output ,MC is independent of fixed cost and is affected just by change in variable costs.