If the Value of the Marginal Product of Labor Exceeds

question 324

Multiple Choice

If the value of the marginal product of labor exceeds the wage, then hiring another worker increases the firm's

• A)profit.
• B)total cost.
• C)total revenue.
• D)All of the above are correct.

---

Definitions:

IFRS

International Financial Reporting Standards, which are a set of accounting principles that govern financial reporting and are designed to be globally consistent.

Goodwill

An intangible asset that arises when a company acquires another business for more than the fair value of its net identifiable assets.

Impairment

The condition where an asset's market value drops below its recorded cost, necessitating an adjustment to reflect the decreased value on financial statements.

Goodwill Impairment

A decrease in the value of a company's goodwill, indicating that the value of acquired assets has fallen below their original cost.