Suppose a Firm Is Hiring 20 Workers at a Wage

question 94

Multiple Choice

Suppose a firm is hiring 20 workers at a wage rate of $60.The average product of labor is 30,the last worker added 12 units of output,and total fixed cost is $3,600.What is average total cost?

• A)$2
• B)$8
• C)$600
• D)$1800
• E)none of the above

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Definitions:

Prospective Study

A research design that follows subjects forward in time to examine the effects of certain variables on future outcomes.

Stressor

Any external or internal factor that causes stress in an individual, challenging their ability to cope.

Alarm Reaction

The initial stage in the body's response to stress, involving the release of adrenaline and other stress hormones.

Resistance Stage

The second phase of the stress response, where the body mobilizes resources to cope with a stressor.