If a competitive firm is maximizing profits by selling output for $2 per unit and paying a factor of production $10, then the marginal revenue product of that factor is:
A) $2.
B) $5.
C) $10.
D) $20.
E) cannot tell from the information provided.
Correct Answer:
Verified
Q34: Use the following to answer questions :
Table
Q35: A firm achieves least cost in production
Q36: An increase in the price of a
Q37: Suppose the market price of the output
Q38: The demands for factors of production are
Q40: Use the following to answer questions :
Figure
Q41: If there is imperfect competition in the
Q42: In most cases, the supply of input
Q43: In a two-factor perfectly competitive economy, the
Q44: Marginal revenue product is the extra revenue
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents