Define the marginal cost of capital (MCC) and explain in words why it predictably undergoes a step-function

Question:

Define the marginal (MCC) and explain in words why it predictably undergoes a step-function increase (breaks) as more capital is raised during a budget period.

Cost Of Capital
Cost of capital refers to the opportunity cost of making a specific investment . Cost of capital (COC) is the rate of return that a firm must earn on its project investments to maintain its market value and attract funds. COC is the required rate of...