-The Marginal Labour Cost (Extra Labour Cost)of the 4^th Employee

question 29

Multiple Choice

-The marginal labour cost (extra labour cost) of the 4^th employee is

• A) $9,500.
• B) $10,000.
• C) $10,750.
• D) $11,000.
• E) $12,000.

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Definitions:

Principle

The original sum of money borrowed in a loan, or the amount of the investment before interest.

Interest

The cost of borrowing money or the return on investment, calculated as a percentage of the principal sum.

Loan

A sum of money borrowed that is expected to be paid back with interest.

Discount Rate

It’s the rate used in discounted cash flow analysis for calculating the present worth of cash flows expected in the future.