The Marginal Cost of Labour Is Defined as the

question 41

Multiple Choice

The marginal cost of labour is defined as the

• A) total cost of producing a certain amount of output.
• B) additional cost of hiring an additional worker.
• C) additional fixed cost of producing an additional unit of output.
• D) total cost of hiring an additional worker.

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Definitions:

Operating Loss

A situation where a company's operating expenses exceed its gross profits, indicating a negative performance.

Fixed Costs

Expenses that do not change with the level of production or sales over a short period, such as rent, salaries, and insurance.

Book Value

The net value of an asset or company calculated as total assets minus intangible assets and liabilities.

Variable Costs

Expenses that change in proportion to the production or sales quantities.