The Following Table Shows the Marginal Productivity of Different Units

question 56

Multiple Choice

The following table shows the marginal productivity of different units of labor for producing a product. Table 28.4
In the table,
MR: Marginal Revenue
MPP: Marginal Physical Product
In Table 28.4, if marginal revenue product is equal to the product of MPP and MR, what wage rate would be consistent with a profit-maximizing firm hiring six laborers?

• A)$6
• B)$10
• C)$12
• D)$18
• E)$24

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