At a local bakery, the head baker is
contemplating whether to produce an
extra batch of chocolate chip
cookies. After calculating the
additional costs for ingredients, labor,
and energy, it becomes evident that
the revenue generated from selling
the extra batch would not cover the
increased expenses.
What economic concept best
describes the discouraging factor for
producing the additional batch?
A) Marginal Cost
B) Opportunity Cost
C) Variable Cost