Consider the following production and cost schedule for a firm.The first column shows the number of units of a variable factor of production employed by the firm.
TABLE 13-1
-Refer to Table 13-1.The total revenue of the output produced by 15 units of the factor is
A)$860.
B)$150.
C)$640.
D)$780.
E)$1440.

Question

Consider the following production and cost schedule for a firm.The first column shows the number of units of a variable factor of production employed by the firm.
  TABLE 13-1
-Refer to Table 13-1.The total revenue of the output produced by 15 units of the factor is
A)$860. 
B)$150. 
C)$640. 
D)$780. 
E)$1440.

Quizplus · Accepted Answer

The total revenue of the output produced by 15 units of the factor is $860. This is found by multiplying the marginal revenue product of the 15th unit, which is $57, by the number of units, which is 15.

Consider the Following Production and Cost Schedule for a Firm