A Competitive Firm Sells Its Output for $25 Per Unit

question 67

Multiple Choice

A competitive firm sells its output for $25 per unit.The marginal product of the 10th worker is 10 units of output per day;the marginal product of the 11th worker is 8 units of output per day.The firm pays its workers a wage of $160 per day.

• A) For the 10th worker,the value of the marginal product of labor is $50.
• B) For the 10th worker,the value of the marginal product of labor is $250.
• C) For the 10th worker,the value of the marginal product of labor is $300.
• D) For the 10th worker,the value of the marginal product of labor is $1,500.

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Definitions:

Business Career

A professional path that involves working in the commercial sector, which may encompass a wide range of roles and industries.

Accounting Study

The systematic and comprehensive recording of financial transactions pertaining to a business, and the process of summarizing, analyzing and reporting these transactions to oversight agencies and tax collection entities.

Partnership

A legally recognized form of enterprise where the management and earnings are divided among two or more partners.

Securities and Exchange Commission

A government agency responsible for regulating the securities industry, enforcing federal securities laws, and ensuring market integrity.