4.As the manager of a clothing store, you need to determine how many workers to hire.The table below shows your production function relating output per number of hired workers (assume no changes to the capital and size of the clothing store.Use the given information to find the Marginal Product of Labor.What should determine the number of workers to hire if your goal is to maximize efficiency?OHire as many employees as possibleOHire the minimum number of workersOHire a number of workers where marginal product is positiveOHire a number of workers where marginal product is negativeOHire the number of workers where marginal product is maximizedWorkers Total Output01234506598110112112Marginal Product9.9. 3.Indicate whether the statements below describe long or short run conditions:A. NeitherB. Long RunC. Short Run??✓ 1. Firms can expand or contract based on market conditions2. Capital is fixed3. Firms face rising fixed average fixed cost

Workers Total Output Marginal Product 0 0 -- 1 65 65 2 98 33 3 110 12 4 112 2 5 112…

Answered: 1. Firms can expand or contract based…

1. Firms can expand or contract based on market conditions 2. Capital is fixed ? 3. Firms face rising fixed average fixed cost

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Concept explainers

Explicit and Implicit Cost Analysis

The entire idea of the cost of production or production cost is applied corresponding or we can say that it is related to money cost. Money cost refers to any money expenditure which the firm or supplier or producer undertakes in purchasing or hiring factors of production or factor services.

Question

4.
As the manager of a clothing store, you need to determine how many workers to hire.
The table below shows your production function relating output per number of hired workers (assume no changes to the capital and size of the clothing store.
Use the given information to find the Marginal Product of Labor.
What should determine the number of workers to hire if your goal is to maximize efficiency?
OHire as many employees as possible
OHire the minimum number of workers
OHire a number of workers where marginal product is positive
OHire a number of workers where marginal product is negative
OHire the number of workers where marginal product is maximized
Workers Total Output
0
1
2
3
4
5
0
65
98
110
112
112
Marginal Product
9.
9.

3.
Indicate whether the statements below describe long or short run conditions:
A. Neither
B. Long Run
C. Short Run
?
?
✓ 1. Firms can expand or contract based on market conditions
2. Capital is fixed
3. Firms face rising fixed average fixed cost

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QUESTION 3 Explicit costs are and implicit costs are O Paid in money; incurred when a firm gives up an alternate action Paid in money; paid in interest costs Not measurable; measurable O Used to maximize profits; used to minimize costs Click Save and Submit to save and submit. Click Save All Answers to save all answers.