If a Firm Hires Labor for $4,000,pays Rent of $1,500,buys

question 134

Multiple Choice

If a firm hires labor for $4,000,pays rent of $1,500,buys raw materials for $6,000 from another firm,earns profits of $500,and sells its output for $14,000,the value added by the firm is _____.

• A)$12,000
• B)$8,000
• C)$6,000
• D)$2,000
• E)$500

---

Definitions:

Epiglottis

A leaf-shaped flap of cartilage located behind the tongue, at the top of the larynx, which prevents food and drink from entering the windpipe during swallowing.

Trachea

The windpipe, a tube extending from the larynx to the bronchi, conducting air to and from the lungs in humans and other animals.

pH

A scale used to specify the acidity or basicity of an aqueous solution, with lower values being more acidic and higher values more basic.

Sphincters

Circular muscles that control the passage of substances through the openings of the body.