Complete the following table. DO NOT use decimal points, or dollar signs. All of
ID: 1181270 • Letter: C
Question
Complete the following table. DO NOT use decimal points, or dollar signs. All of your answers should be whole numbers. For example 95 not 95.00 or $95 or $95.00.
Number of Workers per day
Finished Tricycles
Marginal Product
Marginal Revenue
Marginal Revenue Product
0
0
------
$20
---------
1
8
$20
2
14
$20
3
18
$20
4
21
$20
5
23
$20
Number of Workers per day
Finished Tricycles
Marginal Product
Marginal Revenue
Marginal Revenue Product
0
0
------
$20
---------
1
8
$20
2
14
$20
3
18
$20
4
21
$20
5
23
$20
Explanation / Answer
Theory:
Marginal product: the marginal product or marginal physical product of an input (factor of production) is the extra output that can be produced by using one more unit of the input (source: Wiki)
Marginal revenue product (MRP): The marginal revenue product (MRP) of a worker is equal to the product of the marginal product of labor (MP) and the marginal revenue (MR), given by MR
Number of Workers per day Finished Tricycles Marginal Product Marginal Revenue Marginal Revenue Product 0 0 ------- $20 ------- 1 8 8 $20 160 2 14 6 $20 120 3 18 4 $20 80 4 21 3 $20 60 5 23 2 $20 40