If you find it counterintuitive you to promoting where marginal money translates to limited pricing will maximize payouts, functioning from the quantity can assist.
Step 1. Think about, we define limited costs since the change in total price regarding promoting a small amount of extra yields.
Step dos. Remember that in the Dining table dos, since efficiency increases from 1 to help you dos products, total price develops out of $five-hundred to help you $775. This means that, the fresh limited cost of the following equipment will be: