Incremental Cost

What does it Mean? The encompassing change that a company experiences within its balance sheet due to one additional unit of production.


Also referred to as "marginal cost".
Investopedia Says... Incremental cost is the overall change that a company experiences by producing one additional unit of good.

Terms Related Links

Balance Sheet
Efficiency Principle
Long Run Incremental Cost - LRIC
Unit Cost

Terms Related Links
Reading The Balance Sheet - Learn about the components of the statement of financial position and how they relate to each other.

Introduction To Fundamental Analysis - Learn this easy-to-understand technique of analyzing a company's financial statements and reports.

add investopedia foot
www.investopedia.com