Thirsty Thelma Owns and Operates a Small Lemonade Stand

question 384

Multiple Choice

Thirsty Thelma owns and operates a small lemonade stand. When Thelma is producing a low quantity of lemonade she has few workers and her equipment is not being fully utilized. Because she can easily put her idle resources to use,

• A)the marginal cost of an extra worker is large.
• B)the marginal cost of one more glass of lemonade is smaller than if output were high.
• C)the marginal product of an extra worker is small.
• D)her lemonade stand is likely to be crowded with workers.

---

Definitions:

Antidiuretic Hormone

A hormone that regulates water balance in the body by controlling the amount of water reabsorbed by the kidneys.

Aldosterone

A steroid hormone produced by the adrenal glands that regulates sodium and potassium balance in the blood, influencing blood pressure and fluid balance.

Adrenal Cortex

The outer part of the adrenal gland that produces essential hormones like cortisol and aldosterone, which regulate metabolism, blood pressure, and stress response.

Hypotonic

Describes a solution that has a lower osmotic pressure than another fluid, often causing cells to swell as water moves into them.