If One Worker Can Pick $30 Worth of Grapes and Two

question 140

Multiple Choice

If one worker can pick $30 worth of grapes and two workers together can pick $50 worth of grapes, the

• A) marginal revenue product of each worker is $25.
• B) marginal revenue product of the first worker is $20.
• C) marginal revenue product of the second worker is $20.
• D) data given do not permit the determination of the marginal revenue product of either worker.

---

Definitions:

Cost Analysis

The process of evaluating the costs involved in producing a product or providing a service, to determine ways to reduce or manage expenditures.

R-squared

A statistical measure that represents the proportion of the variance for a dependent variable that's explained by an independent variable or variables in a regression model.

Dependent Variable

A variable that responds to some causal factor; total cost is the dependent variable, as represented by the letter Y, in the equation Y = a + bX.

Independent Variable

A variable in an experiment that is manipulated to observe its effect on the dependent variable.