Arrange the steps involved in calculating marginal costs in the correct order: A) Determine the total cost of production for the current level of output B) Identify the additional cost incurred for producing one more unit C) Subtract the total cost of production from the new total cost after increasing output D) Use the marginal cost to make decisions about pricing and resource allocation

To calculate marginal costs, you first need to determine the total cost of production for the current level of output. Next, you identify the additional cost incurred for producing one more unit of that product. After that, you subtract the total cost of production from the new total cost after increasing the output to find the marginal cost. Finally, you can use this marginal cost to make decisions about pricing and resource allocation, helping you understand whether producing more units is financially beneficial. For example, if producing an extra toy costs $5 more, and you know you can sell it for $10, you can decide that it's a good idea to increase production.