Learning Path
Question & Answer1
Understand Question2
Review Options3
Learn Explanation4
Explore TopicChoose the Best Answer
A
$30
B
$15
C
$40
D
$10
Understanding the Answer
Let's break down why this is correct
Answer
To find the Marginal Revenue Product of Labor (MRPL), we need to multiply the marginal revenue by the marginal product of labor. In this case, the marginal revenue is $10, and the marginal product of labor is 3 units. So, we calculate MRPL by multiplying these two numbers: $10 times 3 equals $30. This means the MRPL is $30, which represents the additional revenue generated from hiring one more employee. Therefore, the MRPL can be defined as the extra revenue produced by each additional worker hired.
Detailed Explanation
To find MRPL, you multiply the marginal revenue by the marginal product of labor. Other options are incorrect because This answer might come from thinking only about one part of the calculation; This could happen if someone mistakenly adds instead of multiplying.
Key Concepts
Marginal Revenue Product of Labor
Marginal Revenue
Marginal Product of Labor
Topic
Calculating Marginal Revenue Product
Difficulty
medium level question
Cognitive Level
understand
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