Suppose the Local University Charges $85 Per Credit Hour

question 274

Multiple Choice

Suppose the local university charges $85 per credit hour.If tuition increases from $85 to $93 per credit hour,using the midpoint method,what is the percentage change in price?

• A) 8.99 percent
• B) 8.00 percent
• C) 9.41 percent
• D) 8.62 percent
• E) 9.12 percent

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Definitions:

Wage Rate

The amount of compensation paid to an employee per unit of time, often hourly or annually, reflecting the price of labor in a market.

Labor

The effort by humans to produce goods or services in exchange for wages or other forms of compensation.

Total-Product Schedule

A table showing the output or total product resulting from various quantities of inputs or resources, used in production theory.

Marginal Revenue Product

The increase in revenue resulting from the utilization of one extra unit of a factor of production.