Assume That a Restaurant Is Hiring Labor in an Amount

question 132

Multiple Choice

Assume that a restaurant is hiring labor in an amount such that the MRC of the last worker is $16 and her MRP is $12.On the basis of this information,we can say that:

• A) profits will be increased by hiring additional workers.
• B) profits will be increased by hiring fewer workers.
• C) marginal revenue product must exceed average revenue product.
• D) the restaurant is maximizing profits.

---

Definitions:

Body

The physical structure of a person or an organism, including the bones, flesh, and organs.

Relaxation Training

Techniques and exercises designed to reduce stress and anxiety, promoting a state of calm and relaxation in the body and mind.

High Blood Pressure

A condition characterized by the force of the blood against the artery walls being too high, often leading to health problems like heart disease.

Medication

Drugs or substances used in the treatment, cure, prevention, or diagnosis of disease or used to enhance physical or mental well-being.