Table 104 Table 104 Lists Data for the Production of Apple IPods

question 54

Multiple Choice

Table 10.4
$$\begin{array} { | c | c | c | c | c | c | c | } \hline \begin{array} { c } \text { Quantity of } \\\text { labour }\end{array} & \text { Output } & \boldsymbol { M P } _ { \mathbf { L } } & \text { Price } & \begin{array} { c } \text { Total } \\\text { Revenue }\end{array} & \boldsymbol { M R P } _ { \mathbf { L } } & \text { Wage } \\\hline 0 & 0 & - & \$ 200 & \$ 0 & - & \$ 500 \\\hline 1 & 6 & 6 & 180 & & & 500 \\\hline 2 & 11 & 5 & 160 & & & 500 \\\hline 3 & 15 & 4 & 140 & & & 500 \\\hline 4 & 18 & 3 & 120 & & & 500 \\\hline 5 & 20 & 2 & 100 & & & 500 \\\hline 6 & 21 & 1 & 80 & & & 500 \\\hline\end{array}$$ Table 10.4 lists data for the production of Apple iPods. Apple is assumed to be a price maker, so to increase its sales of iPods the firm must lower its price. MP_L and MRP_L refer to the marginal product of labour and the marginal revenue product of labour, respectively.
-Refer to Table 10.4.The quantity of labour and marginal revenue product of labour that will maximise the profit Apple would earn from selling iPods are _________,respectively.

• A) 2 and $160
• B) 3 and $340
• C) 2 and $680
• D) 3 and $140

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Definitions:

Unconscious

The part of the mind that is inaccessible to the conscious mind but that affects behavior and emotions.

Preconscious

According to Freud, area of the psyche that contains material from the unconscious before it reaches the conscious mind.

Collective Unconscious

According to Carl Jung, the wisdom accumulated by society over hundreds of years of human existence and stored in the memories of individuals.

Conscious

The state of being awake and aware of one's surroundings and having a sense of self.