Explain the likely effects on marginal revenue product

Assignment Help Business Economics

Reference no: EM13154665

The following table depicts the output of a firm that manufactures computer printers. The printers sell for $100 each.

Labor input(workers per week) Total physical output (printers per week)

10 200

11 218

12 234

13 248

14 260

15 270

16 278

a) Calculate the marginal physical product and marginal revenue product at each input level above 10 units.

b) What is the maximum wage the firm will be willing to pay if it hires 15 workers?

c) The weekly wage paid by computer printer manufacturers in a perfectly competitive market is $1,200. How many workers will the profit-maximizing employer hire?

d) Suppose that there is an increase in the demand for personal computer systems. Explain the likely effects on marginal revenue product, marginal factor cost, and the number of workers hired by the firm.

Reference no: EM13154665

Questions Cloud

Liability for the contingency : After the 2010 financial statements were issued, the case was settled with the IRS for $1,200,000. What amount, if any, should be reported as a liability for this contingency as of December 31, 2010?

How many moles of ammonia will be required : How many moles of ammonia will be required to produce 11.5 mol of water?

Journal entry for settlement of asset retirement obligation : On December 31, 2019, Bassinger pays a demolition firm to dismantle the depot and remove the tanks at a price of $80,000. Prepare the journal entry for the settlement of the asset retirement obligation.

Show contingency table of expected frequencies : The null hypothesis is to be tested at 95% confidence. Determine the critical value for this test. What do you conclude? Determine the p-value and perform the test.

Explain the likely effects on marginal revenue product : Suppose that there is an increase in the demand for personal computer systems. Explain the likely effects on marginal revenue product, marginal factor cost, and the number of workers hired by the firm.

What will the final volume of the sample be : A sample of oxygen that occupies 1.00 × 10-6 mL at 575 mm Hg is subjected to a pressure of 1.25 atm. What will the final volume of the sample be if the temperature is held constant

Relationship between the financial statements : In what ways do the elements of the four financial statements interact with one another? How might changing one of the financial statements affect the other financial statements? Why is it essential to understand the relationship between the finan..

Compute molar mass of ethanol after calculated molar mass : Compute molar mass of ethanol after calculated molar mass in an experiment and the given molar mass of ethanol is 46.07g

Criterion for rejection or non-rejection of null hypothesis : Formulate the null and alternative hypotheses. Determine the criterion for rejection or non-rejection of the null hypothesis.

User Account

All Pages