what is the formula for marginal cost 
marginal cost is calculated by dividing the change in costs by the change in quantity for example suppose that a factory is currently producing 5 000 units and wishes to increase its production to 10 000 units if the factory s current cost of production is 100 000 and if increasing its production level would raise its costs to 150 000 then the marginal cost of production is 10 or 150 000 100 000 10 000 5 000 