Explanation In the given situation, the UP parlor hires a labor for $ 60 , this means the marginal revenue cost in this situation would be $ 60 . The labor adds 40 pizza a day, with each pizza sold for $ 2 . Calculate the total marginal revenue product to pizza parlor: MRP = MP × P

8th Edition

ISBN: 9781544336329

Author: Robert L. Sexton

Publisher: SAGE Publications, Inc

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Question

Chapter 16, Problem 6P

To determine

To find:

Whether the owner of UP Parlor will hire another worker and the reason for the same.

Expert Solution & Answer

Chapter 16 Solutions

Exploring Economics

Ch. 16 - Prob. 1P Ch. 16 - Prob. 2P Ch. 16 - Prob. 3P Ch. 16 - Prob. 4P Ch. 16 - Prob. 5P Ch. 16 - Prob. 6P Ch. 16 - Prob. 7P Ch. 16 - Prob. 8P Ch. 16 - Prob. 9P Ch. 16 - Prob. 10P

Ch. 16 - Prob. 11P Ch. 16 - Prob. 12P Ch. 16 - Prob. 13P Ch. 16 - Prob. 14P Ch. 16 - Prob. 15P Ch. 16 - Prob. 16P Ch. 16 - Prob. 17P

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