On the Basis of Knowledge Obtained in Her Economics Class

question 144

Multiple Choice

On the basis of knowledge obtained in her economics class, Sarah is likely to conclude that:

• A)if the lifeguard job also requires a willingness to clean public restrooms, the wage offer will be lower than otherwise
• B)if the lifeguard job has a requirement for special training or certification, this would tend to increase the wage offer
• C)wages are unlikely to be affected by job requirements
• D)since the lifeguard job would expose him to skin cancer, the wage is likely to be low

---

Definitions:

Marginal Profit

Marginal profit refers to the additional profit a company gains from selling one more unit of a good or service.

Marginal Revenue

The additional income gained by selling one more unit of a product or service.

Total Cost

The sum of all expenses incurred in the production of goods or services, including both fixed and variable costs.

Total Revenue Curve

A graphical representation showing how a firm's total revenue changes with variations in the quantity of goods or services sold.