# Label points a and b table for individual question

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Label points A and B Table for Individual Question Feedback Points Earned: 2.2/3.0 Correct Answer(s): 8. (2 points) When comparing Scenario A to Scenario B, the firm now hires _______ workers. A) more B) fewer Correct Answer(s): A Table for Individual Question Feedback Points Earned: 2.0/2.0
9. (2 points) When comparing Scenario A to Scenario B, the firm now produces _____ output. Table for Individual Question Feedback Points Earned: 2.0/2.0
10. (2 points) When comparing Scenario A to Scenario B, the firm now earns _______ profit.
Table for Individual Question Feedback Points Earned: 2.0/2.0 Correct Answer(s): A 11. SCENARIO C - We return to the original conditions (from scenario A) and now we let wages change. In particular, an increase in labor supply lowers the wage that the firm needs to pay to \$130 For question 11. Fill in Table C - Each box is worth ½ point for a total of 6 points for Table C TABLE C- The wage has changed to \$130 but the price of output (Q) is back at its original value of \$20. L Q MP L MRP Marginal Profit Total Profit 0 0 ----- ----- ------------ 1 8 8 \$160 \$ 30 \$ 2 20 12 \$240 \$ 110 \$ 140 3 28 8 \$160 \$ 30 \$ 170 4 35 7 \$140 \$ 10 \$ 180 5 41 6 \$120 \$ -10 \$ 170 6 45 4 \$80 \$ -50 \$ 120 . 0 30 Table for Individual Question Feedback Points Earned: 6.0/6.0
Box 3: 110; Box 4: 140; Box 5: 30; Box 6: 170; Box 7: 10; Box 8: 180; Box 9: -10; Box 10: 170; Box 11: -50; Box 12: 120 12. Use Scenario C/Table C to answer the questions 12 14 below. (3 points) The profit maximizing output is 35 . Table for Individual Question Feedback Points Earned: 3.0/3.0 Correct Answer(s): 35 13. (3 points) The profit maximizing level of labor input is 4 workers. Table for Individual Question Feedback Points Earned: 3.0/3.0
14. (3 points) The maximum profit for this firm is 180 . Table for Individual Question Feedback Points Earned: 3.0/3.0