Quiz_171 - Table17-1 Outputof Microwave Ovensper Week 30 55 75 90 100 105 Numberof Workers 1 2 3 4 5 6 HotspurIncorporated,,.Thefirmhires $

Quiz_171 - Table17-1 Outputof Microwave Ovensper Week 30 55...

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Table 17-1Number ofWorkersOutput ofMicrowaveOvens perWeek13025537549051006105Hotspur Incorporated, a manufacturer of microwave ovens, is a price taker in its input and output markets. The firm hireslabor at a constant wage rate of $800 per week and sells microwave ovens at a constant price of $80. Table 17-1 shows therelationship between the quantity of labor it hires and the quantity of microwave ovens it produces.25)Refer to Table 17-1.What is the amount of revenue added as a result of hiring the fourth worker?A) 90 microwavesB) 15 microwavesC) $7,200D) $1,200Answer: D25)Diff: 2Page Ref: 547/547Topic: Marginal Revenue Product of LaborLearning Outcome: Micro 17: Explain the effects of the factors of production, factor demand, and factorsupply and labor in factor marketsAACSB: Analytic Skills26)Refer to Table 17-1.What is the amount of profit added as a result of hiring the fourth worker?26)Diff: 2Page Ref: 547/547Topic: The Demand for LaborLearning Outcome: Micro 17: Explain the effects of the factors of production, factor demand, and factorsupply and labor in factor marketsAACSB: Analytic Skills27)Refer to Table 17-1.What is Hotspurʹs profit maximizing quantity of labor?27)Diff: 2Page Ref: 547/547Topic: The Demand for LaborLearning Outcome: Micro 17: Explain the effects of the factors of production, factor demand, and factorsupply and labor in factor marketsAACSB: Analytic Skills8
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