The table shows the short-run production of a firm that produces and sells its product in a perfectly competitive market for Question 1-2. 1. If the firm sells its product at the market price of $10 per unit, the marginal revenue product of the fourth worker is C. $65 A. $40 B. $50 D. $260 E. $30 2. If the firm sells its product at the market price of $10 per unit, how many workers should the firm employ to maximize profit if the wage rate is $55? B. Two C. Three D. Four A. One E. Five Number of Workers 0 1 2 3 4 5 Quantity of Output 0 8 15 21 26 30
The table shows the short-run production of a firm that produces and sells its product in a perfectly competitive market for Question 1-2. 1. If the firm sells its product at the market price of $10 per unit, the marginal revenue product of the fourth worker is C. $65 A. $40 B. $50 D. $260 E. $30 2. If the firm sells its product at the market price of $10 per unit, how many workers should the firm employ to maximize profit if the wage rate is $55? B. Two C. Three D. Four A. One E. Five Number of Workers 0 1 2 3 4 5 Quantity of Output 0 8 15 21 26 30
Microeconomics: Private and Public Choice (MindTap Course List)
16th Edition
ISBN:9781305506893
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Chapter12: The Supply Of And Demand For Productive Resources
Section: Chapter Questions
Problem 13CQ
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Transcribed Image Text:The table shows the short-run production of a firm that produces and sells its product in a perfectly
competitive market for Question 1-2.
1.
If the firm sells its product at the market price of $10 per unit, the marginal
revenue product of the fourth worker is
C. $65
A. $40
B. $50
D. $260
E. $30
2. If the firm sells its product at the market price of $10 per unit, how many
workers should the firm employ to maximize profit if the wage rate is $55?
A. One
B. Two
C. Three
D. Four
E. Five
3 A firm's decision to hire a foot
DAT
TOR
Number of Workers
0
1
2
3
4
5
Quantity of Output
0
8
15
21
26
30
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