labor input                         product output 10                                             500 11                                             600  12                                             690 13                                            760 14                                            800 Refer to the above table, answer the following questions: A. If the price of the good produced is $7, what is the marginal revenue product (MRPL=11) of the 11th worker? B. Suppose the price of the good sold is $10 and the marginal factor cost of labor(MFC) is $700, how many units of labor will the firm hire

Survey Of Economics
10th Edition
ISBN:9781337111522
Author:Tucker, Irvin B.
Publisher:Tucker, Irvin B.
Chapter10: Labor Markets And Income Distribution
Section: Chapter Questions
Problem 4SQP
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labor input                         product output
10                                             500
11                                             600 
12                                             690

13                                            760

14                                            800

Refer to the above table, answer the following questions:

A. If the price of the good produced is $7, what is the marginal revenue product (MRPL=11of the 11th worker?

B. Suppose the price of the good sold is $10 and the marginal factor cost of labor(MFC) is $700, how many units of labor will the firm hire?

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