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Marginal Revenue Calculator
Calculate marginal revenue — the extra revenue earned from selling additional units — from two revenue/quantity snapshots.
How to Use Marginal Revenue Calculator
- 1Enter your revenue and quantity at the lower output level
- 2Enter your revenue and quantity at the higher output level
- 3Click Calculate to see the marginal revenue per additional unit between the two
Frequently Asked Questions
The additional revenue generated by selling one more unit — calculated here as the change in total revenue divided by the change in quantity between two output levels you provide.
No. Average Revenue Calculator divides total revenue by total units (an average across everything sold). Marginal revenue only looks at the CHANGE between two revenue/quantity points — it can be higher, lower, or even negative if increasing volume requires cutting price.
If selling more units requires dropping the price enough that total revenue actually falls despite higher volume — this is common when a market is close to saturated at the current price.
Marginal cost (the cost of producing one more unit). Standard economic theory says profit is maximized where marginal revenue equals marginal cost — this tool only gives you the revenue side of that comparison.
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