Investopedia contributors come from a range of backgrounds, and over 25 years there have been thousands of expert writers and editors who have contributed. Charlene Rhinehart is a CPA , CFE, chair of ...

Marginal efficiency of capital (MEC) is the discount rate at which the present value of the future yields from a capital asset are equal to its cost of acquisition. The idea behind computing the MEC ...

Examine company's annual bond interest. Add pre-tax interest adjustments found in cash flow statements to get pre-tax figures. Calculate pre-tax debt cost using company's effective tax rate for ...

Your business's marginal revenue is the extra money made if you produce one more unit of a product or service. Knowing the marginal revenue from increasing sales can help you decide if expansion is ...

Marginal cost is the added expense of producing one more unit. A horizontal marginal cost curve indicates consistent production costs. Businesses may aim to maintain horizontal costs to stabilize ...

Discover how Long Run Incremental Cost (LRIC) affects business decisions and pricing strategy with insights on cost prediction, investment impact, and financial control.