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units of labor units of Output0 01 72 133 184 225 25
a.Calculate the marginal revenue product for each add. unit of labor of output sell $3
b. draw the damand curve for labor based on above data and the $3 per unit product price
c. wage rate is 15 per hour, how much labor will be hired
d. compare firms total revenue to the total amount paid for labor. Who gets the difference ? what happens would happen to answeres to part b and c if pridce increase to 5 per unit
Cinema Theater has estimated the following demand functions for its movies: Daytime demand, QD = 400 - 50 PD Nighttime demand, QN = 200 - 20 PN The marginal cost of serving another customer is $5 and its fixed costs are $100.
Suppose that ranchers can buy up to a collective total of 200 cows and run them on the open range. The value of each cow after it has grazed is given by V= $2000-10C, where C is the total number of cows on the range.
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Firms often face the problem of allocating an input in fixed supply among different products. Find the optimal crude oil allocation in the proceeding example if the profit associated with fiber were cut in half, that is, fell to $0.375 per square ..
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production of widgets (W) uses labor (L) as its only input. The production function is given by W=F(L)=8*L^.5 and the marginal productivity MPL=4/L^.5. If widgets sell for $10, the price of labor is $8/hour, and there is a fixed cost of $25.
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