Final answer:
In this range of output, the marginal cost is $2. The marginal cost when output increases from 10 to 11 units is the increase in total cost, which is $2.
Step-by-step explanation:
The marginal cost in this range of output can be determined by calculating the difference in total cost between two consecutive units of output. In this case, the total cost increases from $30 to $32 as the output increases from 10 units to 11 units. Therefore, the marginal cost is $32 - $30 = $2.
The marginal cost when output increases from 10 to 11 units is the increase in total cost, which is $2.
The question related to marginal cost can be answered by computing the additional cost incurred from producing one more unit of output. In this specific instance, the total cost for 10 units is $30, and the total cost for 11 units is $32. The marginal cost is the difference in total cost when one additional unit is produced; therefore, the marginal cost is $32 - $30, which is $2.
Marginal cost is crucial for businesses as it helps them make decisions about the level of production. If the price of the additional unit is higher than the marginal cost, it may be worthwhile to increase production. This concept is a fundamental aspect of microeconomics and production theory.