Consider Labour Hired for $18 Per Hour

question 53

Multiple Choice

Consider labour hired for $18 per hour. If the last hour of labour hired produces 8 units of output which sells for $10 per unit, labour should be hired in this situation since the wage is
MRP.

• A) more; less than
• B) less; greater than
• C) more; greater than
• D) no; equal to
• E) less; less than

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Definitions:

Partnership by Estoppel

A legal partnership that exists when a person has been represented as a partner in a firm and has acted upon that basis, despite not officially being a partner.

Partnership Agreement

A legal document outlining the terms of a business partnership, including the responsibilities, profit distribution, and rules for dissolution.

Duty of Obedience

In the context of corporate governance, it refers to the obligation of directors and officers to act in accordance with the organization's goals, policies, and rules.

Fiduciary Duty

A legal obligation of one party to act in the best interest of another when managing money or property, such as the relationship between a trustee and the beneficiaries.