Ron and Yin Are Welders Working for Two Different Divisions

question 93

Multiple Choice

Ron and Yin are welders working for two different divisions of the same company. Both have the same level of experience. However, Ron earns more than Yin. Under the Fair Labor Standards Act (FLSA) , which statement justifies the organization's decision to pay Ron more than Yin?

• A) Ron lives in a location where living expenses are higher.
• B) Yin is younger than Ron.
• C) Ron is a U.S. citizen.
• D) Yin is physically disabled.
• E) Yin works the night shift.

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Definitions:

Marginal Cost

The cost added by producing one extra item of a product, essentially the change in total cost that arises when the quantity produced changes by one unit.

Variable Cost

Costs that vary directly with the level of production output, such as raw materials and direct labor costs.

Fixed Cost

Costs that do not vary with the level of production or sales, such as rent, salaries, and insurance.

Total Output

Total output is the complete quantity of goods or services produced by an economy, firm, or production process within a specific period.