Use the Figure Below to Answer the Following Questions

question 95

Multiple Choice

Use the figure below to answer the following questions.

Figure 19.3.5
-Refer to Figure 19.3.5. This figure shows the labour supply curves and the value of marginal product curves for high-skilled and low-skilled workers. If there is an increase in the supply of high-skilled workers and the supply of high-skilled workers is now equal to the supply of low-skilled workers, then employment of high-skilled labour would

• A)remain the same.
• B)decrease.
• C)increase to 40 hours per week.
• D)increase to 50 hours per week.
• E)none of the above

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Definitions:

Departmental Contribution

The amount of revenue contributed by a specific department after deducting its direct and indirect costs.

Overhead

Refers to the indirect costs required to operate a business, such as rent, utilities, and administrative expenses, not directly tied to the production process.

Controllable Costs

Expenses that a manager or business can influence or manage through decisions and actions.