Question 20Consider the following daily production data for Davis Golf Balls, Inc. Davis Golf Balls, Inc. sells golf balls for $1 each. Use the following table to answer this question:LaborQuantity(number of (golf balls MPLworkers) per day)01234560175325450550625675175O 3 workers are hired.O No workers are hired.O 1 worker is hired.O 6 workers are hired.1501251007550VMPL at$1 per golfball1751501251007550Assuming Davis Golf Balls, Inc. is a competitive, profit-maximizing firm, how many workers will the firm hire if this company pays a wage of $175 a day?

In a competitive market, The firm will maximize its profit by hiring the worker where the value of…

Consider the following daily production data for Davis Golf Balls, Inc. Davis Golf Balls, Inc. sells golf balls for $1 each. Use the following table to answer this question: Labor Quantity (number of (golf balls MPL workers) per day) 0 1 2 3 4 5 6 0 175 325 450 550 625 675 O 3 workers are hired. O No workers are hired. O 1 worker is hired. 175 O 6 workers are hired. 150 125 100 75 50 VMPL at $1 per golf ball 175 150 125 Assuming Davis Golf Balls, Inc. is a competitive, profit-maximizing firm, how many workers will the firm hire if this company pays a wage of $175 a day? 100 75 50

Consider the following daily production data for Davis Golf Balls, Inc. Davis Golf Balls, Inc. sells golf balls for $1 each. Use the following table to answer this question: Labor Quantity (number of (golf balls MPL workers) per day) 0 1 2 3 4 5 6 0 175 325 450 550 625 675 O 3 workers are hired. O No workers are hired. O 1 worker is hired. 175 O 6 workers are hired. 150 125 100 75 50 VMPL at $1 per golf ball 175 150 125 Assuming Davis Golf Balls, Inc. is a competitive, profit-maximizing firm, how many workers will the firm hire if this company pays a wage of $175 a day? 100 75 50

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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workers ouput marginal product total cost average total cost marginal cost 0 0 0 200 0 $0 1 20 20 300 $15 $5 2 50 30 400 $8 $3.33 3 90 40 500 $5.56 $2.50 4 120 30 600 $5 $3.33 5 140 20 700 $5 $5 6 150 10 800 $5.33 $10 7 155 5 900 $5.8 $20 can you explain diminishing marginal product based on these numbers?
Labo r (wor kers) 0 1 2 3 4 5 Total product (units) 0 14 19 Marginal product 3 3 Ave rage prod uct 4.5 The above (incomplete) table provides information about the relationships between labor and various product measures. The provided information should be enough to recover the missing information in the table. Fill in the blank with the correct numbers for the Total Product Column and the Marginal Product Column. After completing the table, you find that the amount of labor that maximizes the marginal product of labor is units of labor. Without calculating the Average Product, just use what we learned in class about the relationship between MP and AP, the average product of the fourth unit of labor should be (>,=, or <) the marginal product of the fourth unit of labor.
Answer the question on the basis of the following information. Number of Workers 0 1 2 3 4 5 6 Multiple Choice Total Product O 0 10 36 52 When five workers are employed, 64 total product is 60. total product is 58. averago product is 10 Marginal Product 10 12 8
A company produces children's toys. The manager noticed the connection between the number of employed workers and the quantity of toys produced per month, which are presented in the table of following: a) In what period is this firm operating? Why? b) What is the average product when 5 workers are employed? c) What is the marginal product when 7 workers are employed? What does this value mean? d) Does the law of declining marginal income apply? If yes to which worker? e) In this production function do we have total declining revenues? If so, which worker happens? f) Graph the curves of total product (TP), marginal product (MP) and product average (AP).
In the table, the marginal product is greatest when the Total Product, Marginal Product, Average Product Labor (workers per day) Total prod- uct (units per day] Mar- Average ginal product prod- uct 3 12 15 O A. first worker is hired. B. second worker is hired. OC. third worker is hired. D. fourth worker is hired. ON 00 N n6 O12M+ 5
10. Recently, some college alumni started a moving service for students living on campus. They have three employees and are debating hiring a fourth. The hourly wage for an employee is $18 per hour. An average moving job takes four hours. The company currently does three moving jobs per week, but with one more employee, the company could manage five jobs per week. The company charges $80 for a moving job. What would be the new employee’s marginal product of labor? What is the value of that marginal product? Should the moving service hire a fourth worker?
The paper factory employs 470470 workers, producing 1,3001,300 tons of paper per month. Hiring 2020 more workers will increase the output by 5050 tons of paper.Calculate the total product for the next additional 2020 workers if their marginal product is 1010 tons of paper per month. Enter your answer in the box below and round to the nearest whole number if necessary.
TOTAL AND MARGINAL PRODUCT Total Product [Output] 70 60 50 40 30 20 10 0 Marginal Product 20 10 0 -10 -20 1 Labor Input 1 2 2 2 3 3 4 5 5 6 6 7 7 8 Labor Input 8 Reset Labor Input 8 EEPRODUCTIVITY CALCULATIONS Labor Input 0 Output 0 Marginal Product structions: Move the slider at the bottom of the diagram to change the quantity of labor hired for both graphs and the table. ) What is the marginal product of the third worker? ) What is the marginal product of the fifth worker? c) If units of output are sold for $0.80 each, how much revenue does the firm gain by selling the additional units attributed to the 3rd worker? $ How much revenue does the firm gain by selling the additional output from the fifth worker? $
Define marginal product of labor and value of the marginal product oflabor. • Describe how a competitive, profit-maximizing firm decides how many workersto hire.
In the table, the marginal product of the third worker is Total Product, Marginal Product, Average Product Total prod- uct (units per day) Average ginal product prod- Labor Mar- (workers per day) uct 2 2 3. 12 15 1 OA. 1. OB. 2. OC.3. OD. 4. ON o N 56 OH2M45
Refer to Figure 8.2. The marginal product of the fifth worker is | 42 32 12 0. 1 2 3 4 5 6 Number of employees Figure 8.2 O eight O ten O five O one Total product
Total product (meals per hour) 24 20 TP 16 12 2 Quantity of labor (workers) The figure shows the total product curve for the Fruit Bowl food truck. If the food truck increases production from 10 to 17 meals per hour, the marginal product is in the range where it and the marginal product is the average product. O A) increases; greater than B) decreases; greater than C) increases; is equal to D) does not change; is equal to O E) increases; less than 4.