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# James Schneider BUSC 1B Professor Dua 20 July 2016 Assignment #5 Marginal Revenue Product (MRP), also known as the Marginal Value Product, is the...

Hello I am looking for help with this microeconomics homework problem. Can you please check what I have done. and if not correct what is the correct answers. Thanks

James Schneider BUSC 1B Professor Dua 20 July 2016 Assignment #5 Marginal Revenue Product (MRP), also known as the Marginal Value Product, is the market value of one additional unit of output. The Marginal Revenue Product is calculated by multiplying together the Marginal Physical Product (MPP) by the Marginal Revenue. The MRP assumes that the expenditures on other factors remain unchanged. MRP = MP P MP = ¿ the difference form, employee 1 boxes of Paper Per Day from Employee 2 Number of Employees Boxes of Paper Per Day MP Price of Paper Sells MRP 0 0 - \$5 - 1 40 40 \$5 200 2 75 35 \$5 175 3 105 30 \$5 150 4 130 25 \$5 125 5 150 20 \$5 100 6 160 10 \$5 50 A. The Marginal Revenue Product (MRP) of the 4 Th worker is 125 B. The amount of employees that will be hired if the wage is \$ 125 a day is 4 employees because Marginal Revenue Product (MRP)=Wages C. The amount of employees that will be hired if the wage is \$ 175 a day is 2 employees because Marginal Revenue Product (MRP)=Wages
Number of Employees Boxes of Paper Per Day MP Price of Paper Sells MRP 0 0 - \$8 - 1 40 40 \$8 320 2 75 35 \$8 280 3 105 30 \$8 240 4 130 25 \$8 200 5 150 20 \$8 160 6 160 10 \$8 80 1 2 3 4 5 6 0 50 100 150 200 250 300 350 50 100 125 150 175 200 80 160 200 240 280 320 Labor Demand Curve \$5 \$8 Employees MRP D. 1. The demand curve will shift to the left because of a higher price of Labor. Less employees will be working. 2. A. Facing a wage of \$175 a day the Bond Paper Company should employ 5 works at \$5 an hour. B. Facing a wage of \$175 a day the Bond paper Company should employ 2 works \$8 and hour.

Assignment #5 ANSWERS 1. A. The Marginal Revenue Product (MRP) of the 4Th worker is 125. (CORRECT)
B. The amount of employees that will be hired if the wage is \$ 125 a day is 4 employees
because...

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Hello student, I can handle your question though it requires a lot of work for you to get the... View the full answer

Assignment #5 ANSWERS 1. A. The Marginal Revenue Product (MRP) of the 4Th worker is 125. (CORRECT)
B. The amount of employees that will be hired if the wage is \$ 125 a day is 4 employees
because...

• Thank you for your patient , wishing you all the best in your course dear student , regards .
• johnkanene3
• Jul 20, 2016 at 7:57pm
• johnkanene3
• Jul 20, 2016 at 7:59pm

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