Firm X Sells Output at a Price of $8 Per

question 40

Multiple Choice

Firm X sells output at a price of $8 per unit and pays labor a wage of $20 per hour. The marginal product of labor is given by: MPL = 12 - .1L. To maximize profit, the firm should utilize _____ hours of labor.

• A) 75
• B) 80
• C) 85
• D) 90
• E) 95

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Definitions:

Bone

The hard, dense connective tissue forming the structure of the skeleton of most vertebrates, providing support and protection.

Stratified Squamous

A type of epithelial tissue characterized by multiple layers of flat cells designed to protect underlying tissues.

Human Skin

The body's largest organ, serving as a protective barrier against mechanical impacts, pathogens, and dehydration, while also regulating temperature and sensing stimuli.

Simple Cuboidal

A type of epithelial tissue that is made up of single-layered cube-shaped cells, often found lining glands and ducts.