Refer to the Table Shown If the Price Per Unit of Product Is $2, the c

question 41

Multiple Choice

Refer to the table shown. $$\begin{array}{l}\begin{array} { | c | c | } \hline \text { Number wf Warkers } & \text { Tatal Praduct per Huur }\\\hline 1 & 24 \\\hline 2 & 44 \\\hline 3 & 60 \\\hline 4 & 74 \\\hline 5 & 84 \\\hline 6 & 90 \\\hline 7 & 92 \\\hline\end{array}\end{array}$$ If the price per unit of product is $2, the marginal revenue product of the fourth worker is:

• A)14.
• B)28.
• C)32.
• D)40.

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Definitions:

Free Entry

A market condition where there are no barriers or restrictions preventing new competitors from joining the market.

Long-Run Profits

Long-Run Profits refer to the sustained earnings a firm can achieve over time, considering all input costs are variable and market conditions may change.

Fixed Costs

Costs that do not vary with the quantity of output produced

Monopolistically Competitive

A market structure characterized by many firms offering products that are similar but not perfect substitutes, leading to competitive yet differentiated markets.