The Company Financial Officer Was Interested in the Average Cost

question 13

Multiple Choice

The company financial officer was interested in the average cost of PCs that had been purchased in the past six months. She took a random sample of the price of 10 computers, with the following results. $3,250, $1,127, $2,995, $3,250, $3,445, $3,449, $1,482, $6,120, $3,009, $4,000
What is the IQR?

• A) 681
• B) 454
• C) 1362
• D) 255
• E) 6120

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Definitions:

Marginal Product

The additional output that is produced by adding one more unit of a particular input, while holding other inputs constant.

Wage Rate

The amount of money paid to an employee per unit of time or output, commonly expressed as an hourly rate.

Diminishing Marginal Product

The property whereby the marginal product of an input declines as the quantity of the input increases.

Production Function

An equation that describes the relationship between the inputs a firm uses and the output it produces.