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    Marginal cost

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    The problem states to find the lerner index for a company that sells sticks at $150 and it cost $45 to produce the stick.

    The lerner index is d= 1- (MC/P)

    I know I have to find the marginal cost to plug into the equation but I'm not sure how to find the marginal cost.

    © BrainMass Inc. brainmass.com October 9, 2019, 6:22 pm ad1c9bdddf
    https://brainmass.com/economics/microeconomics/marginal-cost-lerner-index-86346

    Solution Summary

    Marginal Cost Lerner index is solved.

    $2.19