The Table Below Shows a Firm's Output Per Day for Zero

question 23

Essay

The table below shows a firm's output per day for zero through six workers.
Q L
0 0
46 1
84 2
114 3
136 4
150 5
156 6
The firm's demand and marginal revenue curves are:
P = 50 - 0.125Q MR = 50 - 0.25Q,
where Q = daily sales, and P = output price.
a. Determine the marginal product of labor for one through six workers.
b. Determine the firm's marginal revenue product.
c. How many workers should the firm hire if total wage costs including fringe benefits are $30 per hour? (Each worker is employed for eight hours per day.)

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Definitions:

AASB 101

An Australian Accounting Standards Board standard that prescribes the basis for presentation of general purpose financial statements, to ensure comparability both with the entity's financial statements of previous periods and with the financial statements of other entities.

General Purpose Financial Statements

Financial reports prepared to meet the needs of various users who are not in a position to demand reports tailored to their specific information requirements.

Interim Financial Statements

Financial reports that cover a period of less than one full fiscal year, often used to provide a more immediate view of a company's financial health.

Dissimilar

Pertaining to things that are not alike or have no likeness or similarity.