The Following Table Shows the Total Output Per Hour Produced

question 17

Multiple Choice

The following table shows the total output per hour produced in a factory at various levels of employment of labor. The firm sells each unit of output at $2 and each worker is paid a wage of $12.
Table 5-1
$\begin{array} { | c | c | } \hline \begin{array} { c } \text { Nurnber of } \\\text { workers }\end{array} & \text { Total output } \\\hline 1 & 8 \\\hline 2 & 18 \\\hline 3 & 30 \\\hline 4 & 41 \\\hline 5 & 50 \\\hline 6 & 55 \\\hline 7 & 59 \\\hline 8 & 61 \\\hline 9 & 62 \\\hline\end{array}$
-Refer to Table 5-1. What is the marginal profit of the 2nd worker?

• A) $24
• B) $20
• C) $12
• D) $8
• E) $0

Analyze the effects of specific spending patterns or consumption constraints on utility and choice.

Understand homothetic preferences and their implications for consumer behavior across different income levels.

Recognize non-homothetic preferences and their impact on consumer's demand.

Understand qualitative methods for determining the impact of specific actions.

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Definitions:

Locus of Control

An individual's belief system regarding the causes of his or her experiences and the factors to which that person attributes success or failure.

Better Compensation

Refers to improved salary, benefits, and other rewards that are given to employees for their work.

Expectations

The beliefs or hopes regarding what is possible or likely to happen in the future.

Mentoring

A relationship in which a more experienced or knowledgeable person helps to guide a less experienced or less knowledgeable person.