Asked by
isabella derteano
on Nov 05, 2024
Verified
The marginal revenue product of labor is
A) the additional revenue a firm earns by employing one additional unit of labor.
B) the additional profit a firm earns by employing one additional unit of labor.
C) the marginal product of capital times the price of labor.
D) the additional revenue the firm makes by selling one unit of labor.
Marginal Revenue Product
The additional revenue generated from using one more unit of a resource.
Additional Revenue
The increase in income received from selling one more unit of a product or service.
Additional Unit
The next unit of production, referring to the increase in quantity by one unit.
- Attain an understanding of the marginal revenue product (MRP) and the process for calculating it.
Verified Answer
KH
Learning Objectives
- Attain an understanding of the marginal revenue product (MRP) and the process for calculating it.