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Question

Vysakh is selling samosas. He already sold 250 samosas. His decision on whether or not to sell the 251st samosa is based on the ___



A

MC of the 251st samosa

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B

TC of the 251 samosas

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C

ATC of 251 samosas

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D

AVC of 251 samosas

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Solution

The correct option is A

MC of the 251st samosa


On taking any economic decisions, only the marginal quantities are important. In this case, the relevant decision variable is the marginal quantity of the 251st samosa.


Micro Economics

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