Lynn owns Dust Bunnies, a cleaning company. In one week, she is able to clean 9 houses. If she hires an employee, together they are able to clean 15 houses per week. If Lynn charges $100 to clean a house, what is the marginal product of her employee?

Question

Quizplus · Accepted Answer

The marginal product of the employee is the additional number of houses cleaned due to hiring the employee. Lynn alone cleans 9 houses, and together they clean 15 houses, so the employee's marginal product is 15 - 9 = 6 houses.

Lynn Owns Dust Bunnies, a Cleaning Company