Menthol and methyl salicylate are the main active ingredients of peppermint. Internally, they have anti-spasmodic actions, with calming effects on the muscles of the stomach, intestinal tract, and uterus.
So we must find out if marginal cost is greater than or less than $300. To do this, calculate total cost for 200 doses and 201 doses, and calculate the increase in total cost. Multiplying quantity by average total cost, we find that total cost rises from $40,000 to $40,401, so marginal cost is $401.ith marginal cost of $1,000 per diamond, or $1 million per thousand diamonds, the monopoly will maximize profits at a price of $7,000 and a quantity of 6,000. Additional production beyond this point would lead to a situation where marginal revenue is lower than marginal cost.
Marginal costing-definition Marginal costing distinguishes between fixed costs and variable costs as convention ally classified. The marginal cost of a product ââ is its variable costâ. This is normally taken to be; direct labour, direct material, direct expenses and the variable part of overheads.or example, if a manufacturing firm produces X unit at a cost of $ 300 and X+1 units at a cost of $ 320, the cost of an additional unit will be $ 20 which is marginal cost.