Table 1-4 Eva Runs a Small Bakery in the Village

question 252

Multiple Choice

Table 1-4
Eva runs a small bakery in the village of Roggerli. She is debating whether she should extend her hours of operation. Eva figures that her sales revenue will depend on the number of additional hours the bakery is open as shown in the table above. She would have to hire a worker for those hours at a wage rate of $12 per hour.
-Refer to Table 1-4. Using marginal analysis, how many hours should Eva extend her bakery's hours of operations?

• A) 2 hours
• B) 3 hours
• C) 4 hours
• D) 5 hours
• E) 6 hours

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Definitions:

Promotability

The potential or suitability of an employee for future promotion within an organization.

Present Performance

The current level of effectiveness or achievement of an individual or entity in executing assigned tasks or goals.

Human Resource Shortages

Human resource shortages occur when there is a lack of qualified, skilled workers available to fill job positions within an organization, industry, or geography.

Hiring Freeze

A temporary halt on hiring new employees, typically implemented by an organization to reduce costs.