Refer to Table 5

question 36

Multiple Choice

$$\begin{array}{l}\begin{array} { c | c } \begin{array} { c } \text { Output } \\\text { (Bushels of } \\\text { Barley) }\end{array} & \begin{array} { c } \text { Marginal } \\\text { Cost } \\\text { (Dollars) }\end{array} \\\hline 10 \text { bushels } & \$ 0.30 \\20 \text { bushels } & \$ 0.60 \\30 \text { bushels } & \$ 0.90 \\40 \text { bushels } & \$ 1.20\end{array}\\\text { Table } 5.1\end{array}$$ Refer to Table 5.1,which gives Farmer McColl's marginal cost function for barley.If Farmer McColl is currently producing 20 bushels of barley,which of the following is the market price for a bushel of barley?

• A) $0.60.
• B) $1.20.
• C) $6.00.
• D) $12.00.

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Definitions:

Market Comparison

The analysis and evaluation of a company's performance, products, or services against those of its competitors within the same industry or market.

Marginal Product

The additional output produced by employing one more unit of a specific factor of production, keeping other inputs constant.

Equilibrium Quantity

The level of output at which the quantity supplied equals the quantity demanded, reflecting a market balance between sellers and buyers.

Land Market

The land market refers to the supply and demand dynamics of land for various uses, influencing prices and availability within an economy.