A Competitive Employer Will Hire Inputs Up to the Point

question 133

Multiple Choice

A competitive employer will hire inputs up to the point where the

• A) marginal product of the input reaches a maximum.
• B) price of the input equals the price of the output.
• C) price of the input equals the marginal product of the input.
• D) price of the input equals the marginal revenue product of the input.

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Definitions:

Control

The process of gathering feedback to ensure that a plan is being properly executed or modified as circumstances change.

Budgets

Formal quantitative plans for the financial management of resources over a specified period, often used for controlling and directing resources.

Budgeted Income Statement

A financial report projecting revenue, expenses, and net income for a future period, based on management's expectations.

Budgeted Balance Sheet

A financial statement that projects the financial position of a company at a future date, showing expected assets, liabilities, and equity based on planned operations and initiatives.