Suppose Charles owns a lawn-mowing company. Assume that without workers, no yards are mowed. When he hires one worker, he is able to mow 2 yards per day, With two workers he can now 5 yards per day and with a three workers he can now 10 yards per day. The marginal product of the first worker is 2 yards per day The marginal product of the second worker is 3 yards per day The marginal product of the third worker is ? yard per day

Suppose Charles owns a lawn-mowing company. Assume that without workers, no yards are mowed. When he hires one worker, he is able to mow 2 yards per day, With two workers he can now 5 yards per day and with a three workers he can now 10 yards per day. The marginal product of the first worker is 2 yards per day The marginal product of the second worker is 3 yards per day The marginal product of the third worker is ? yard per day

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Suppose Charles owns a lawn-mowing company. Assume that without workers, no yards are mowed. When he hires one worker, he is able to mow 2 yards per day. With two workers, he can mow 5 yards per day, and with three workers, he can mow 10 yards per day. The marginal product of the second worker is ? yards per day
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Kathleen Taylor is a high school student who has been investigating the possibility of mowing lawns for a summer job. She has a couple of friends she thinks she could hire on an hourly basis per job. The equipment, including two new lawnmowers and weedeaters, would cost her $500, and she estimates her cost per lawn, based on the time required to pay her friends to mow an average residential lawn (and not including her own labor) and gas for driving to the jobs and mowing, would be about $14. a. If she charges customers $30 per lawn, how many lawns would she need to mow to breakeven? b. Kathleen has 8 weeks available to mow lawns before school starts again, and she estimates that she can get enough customers to mow at least three lawns per day, 6 days per week. How much money can she expect to make over the summer? c. Kathleen believes she can get more business if she lowers her price per lawn. If she lowers her price to $25 per lawn and increases her number of jobs to four per day…
19. Jurgen is an operator and works for a company producing vacuum formed blister packs. The blister packs he produces sell at 0.60€ each and he must produce 800 blister packs every 8 hr shift. He earns a minimum wage of 184€ per week. One fine day he thinks of buying a garage and equip it with all the necessary plant equipment to manufacture the blister packs. He gathers the below quotations. Can you calculate the ROI, payback period and the breakeven quantity? Vacuum forming machine -24000€ Air compressor -8000€ Garage - 85000€ Plastic sheets cost 240€ per roll and 1 roll makes 16000 blister packs.