c. Calculate how many workers should be hired when wage = 40$ per worker perday and why?, calculate and prove that the profit earned is optimal at your current quantity of %3D labor and not at n+1. d. Calculate how many workers should be hired when wage = 55$ per worker, why?, calculate and prove that the profit earned is optimal at your current quantity of labor and not at n+1.

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Question

Answer C and d only

2. Consider Kadokawa.inc, a merchandising
company in japan producing keychain with a flat
rate of 3$ per keychain.
Number
Number of
MPL TR
MRPL
keychains
produced
per day
of
Workers
30
80
110
.....
.....
.....
135
.....
.....
20
.....
.....
.....
170
30
.....
8.
15
a. Fill in all the blanks in the table above
b. Verify that MRPL for this firm can be
calculated in two ways: (1) change in TR
from an additional worker and (2) MPL times
the price of output
c. Calculate how many workers should be hired
when wage = 40$ per worker perday and
why?, calculate and prove that the profit
earned is optimal at your current quantity of
labor and not at n+1.
d. Calculate how many workers should be hired
when wage = 55$ per worker, why?, calculate
and prove that the profit earned is optimal at
your current quantity of labor and not at n+1.
으123|4|5 6|7
Transcribed Image Text:2. Consider Kadokawa.inc, a merchandising company in japan producing keychain with a flat rate of 3$ per keychain. Number Number of MPL TR MRPL keychains produced per day of Workers 30 80 110 ..... ..... ..... 135 ..... ..... 20 ..... ..... ..... 170 30 ..... 8. 15 a. Fill in all the blanks in the table above b. Verify that MRPL for this firm can be calculated in two ways: (1) change in TR from an additional worker and (2) MPL times the price of output c. Calculate how many workers should be hired when wage = 40$ per worker perday and why?, calculate and prove that the profit earned is optimal at your current quantity of labor and not at n+1. d. Calculate how many workers should be hired when wage = 55$ per worker, why?, calculate and prove that the profit earned is optimal at your current quantity of labor and not at n+1. 으123|4|5 6|7
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