Austin's Total Fixed Cost at the Bakery Is $3,600 a Month.Austin

question 79

Multiple Choice

Austin's total fixed cost at the bakery is $3,600 a month.Austin employs 20 workers and pays each worker $8 an hour.The marginal product of the twentieth worker is 12 iced cupcakes an hour.What is the marginal cost of the last cupcake produced by the last worker Austin hired?

• A)$0.26
• B)$0.66
• C)$3.81
• D)$8.00

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Definitions:

Brand Loyalty

The degree of consumer dedication and preference for a particular brand, often resulting in repeat purchases over time.

Brand Equity

The value and strength of a brand in the market, built through consumer perceptions, recognition, and loyalty.

Divest

The act of a company selling off assets, subsidiaries, or divisions to refocus its core business or improve financial health.