Refer to the table at right. If the price of the product is $1.50, and the marginal factor cost of an additional unit of an input is $135, how many units of labor should be hired?

A. 14
B. 11
C. 12
D. 13


Ans: C. 12

Economics

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An article in the Wall Street Journal noted the following: Instead of relying on a full-coach, round-trip unrestricted fare of about $2,000 between Cleveland and Los Angeles

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Refer to Figure 14-8 Use the decision tree to determine whether Microsoft should deter Toshiba from entering the market for electronic book readers (e-readers). Assume that each firm must earn a 20% return on investment to break even

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If a monopoly is maximizing profits:

a. price will always be greater than average cost. b. price will always equal marginal cost. c. price will always be greater than marginal cost. d. price will always equal marginal revenue.

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