The Additional Revenue Associated with Hiring One Additional Unit of Some

question 56

Multiple Choice

The additional revenue associated with hiring one additional unit of some factor input, such as labor, is called

• A) marginal cost.
• B) marginal revenue product.
• C) marginal factor cost.
• D) marginal physical product.

---

Definitions:

Retail Customers

Individuals who purchase goods or services for personal use from retail stores, as opposed to buying for business or resale purposes.

Wholesale Prices

The cost at which goods are sold by wholesalers to retailers, usually lower than the retail price due to the absence of retailer markup.

Wholesalers

Businesses that sell goods in large quantities at lower prices, typically to retailers, other businesses, or professional users, but not directly to the end consumer.

Category Specialists

Retailers or businesses that focus on a specific category of products, offering a wide selection and deep knowledge within that category.