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Author Question: If a pet grooming salon hires an additional groomer, that worker can groom 4 additional pets per ... (Read 139 times)

AEWBW

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Question 1

Marginal revenue product


◦ is calculated as the marginal product of labor divided by the price of output.
◦ eventually increases as labor input increases.
◦ measures the benefit to the firm from hiring an additional unit of labor.
◦ increases when marginal product decreases.

Question 2

If a pet grooming salon hires an additional groomer, that worker can groom 4 additional pets per day. The average grooming fee is $25. The most the salon would be willing to pay that groomer is


◦ $4 per day.
◦ $25 per day.
◦ $100 per day.
◦ indeterminate with the given information.


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Marked as best answer by AEWBW on Apr 19, 2019

mfedorka

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