Exhibit 28-7

-Refer to Exhibit 28-7.As the firm increases employment from 30 to 40 workers,its total labor cost

Name: Exhibit 28-7 -Refer to Exhibit 28-7.As the firm increases employment from 30 to 40 workers,its total labor cost
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Question

Exhibit 28-7
 
-Refer to Exhibit 28-7.As the firm increases employment from 30 to 40 workers,its total labor cost

Quizplus · Accepted Answer

As the firm increases employment from 30 to 40 workers, its total labor cost increases by $160. This is because the marginal cost of labor is $4, and the firm hires 10 additional workers.

Exhibit 28-7 -Refer to Exhibit 28-7.As the Firm Increases Employment from 30