At the End of 2011, Gilley Company Implemented a New

question 123

Multiple Choice

At the end of 2011, Gilley Company implemented a new labor process and redesigned its product with the expectation that input usage efficiency would increase.Now, at the end of 2012, the president of the company wants an assessment of the changes on the company's productivity.The data needed for the assessment are as follows:
- What is the partial operational measure for power for 2012?

• A) 4.00
• B) 1.00
• C) 1.15
• D) 3.69

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Definitions:

Marginal Cost

The heightened cost from fabricating an extra unit of a good or service.

Marginal Revenue

The increase in revenue that results from the sale of one additional unit of a product or service.

Industry Equilibrium Price

The price at which the quantity of goods supplied equals the quantity of goods demanded in an industry.

Marginal Revenue

The extra revenue received from selling an additional unit of a product or service.