(Table: Value of the Marginal Product of Labor and Demand)

question 7

Multiple Choice

(Table: Value of the Marginal Product of Labor and Demand) In the figure Value of the Marginal Product of Labor and Demand, the total product of labor is shown for the hourly production of power cords.The price of a power cord is $2, the market wage rate is $20 per hour, and eight workers are hired.Profit can be maximized by hiring worker(s) .

• A)one more
• B)two more
• C)one fewer
• D)two fewer

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Definitions:

Licensee

A person on property with permission but for his own purpose.

Invitee

A person coming on a property for a business purpose.

Trespasser

A trespasser is someone who enters or remains on property without the permission of the owner or lawful authority.

Reasonable Person Test

A legal standard used to determine whether an individual's actions were reasonable under particular circumstances.