Consider a Basket-Producing Firm with Fixed Capital

question 104

Multiple Choice

Consider a basket-producing firm with fixed capital.If the firm can produce 36 baskets per day with 3 workers and then increases production to 44 baskets per day with 4 workers,then which of the following statements is true?

• A)The marginal product of the fourth worker is 11.
• B)With 4 workers,the marginal product is above the average product.
• C)The firm has not yet reached the point of diminishing marginal productivity.
• D)The firm has passed the point of diminishing marginal productivity.
• E)With 4 workers,the firm's average product of labour is 8.

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Definitions:

Perceived Differentiation

The extent to which consumers or clients see a product, service, or brand as distinct from its competitors.

Goal Incompatibility

A situation where the aims or objectives of different parties or components conflict, making it difficult to achieve a common outcome.

Conflict Handling Styles

The various approaches individuals use to address and manage conflict, including methods such as avoidance, accommodation, competition, compromise, and collaboration.

Concern For Self

An individual's focus on their own interests, wellbeing, and benefits in various situations.