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inessss [21]
3 years ago
11

A profit-maximizing firm will hire the variable input, labor, until the point where: Group of answer choices marginal product of

labor is equal to the marginal revenue product of capital. marginal revenue from each unit of output is equal to the wage rate. marginal revenue product of labor is equal to the marginal cost of labor. marginal revenue product of labor is equal to zero. marginal product of labor equals the marginal revenue from each unit of output.
Business
1 answer:
zysi [14]3 years ago
7 0

Answer:

marginal revenue product of labor is equal to the marginal cost of labor.

Explanation:

In a competitive capitalist economy, firms adopt their strategy of maximizing profit by producing on the scale where marginal revenue (price) equals marginal cost (cost of producing one more unit). The same applies to the rationalization of productive inputs, such as labor. The firm will adopt the amount of production-maximizing labor in which marginal labor productivity (how much more worker produces) equals marginal labor cost (cost of hiring an extra worker). As long as marginal labor productivity is higher than marginal labor cost, the firm has hired. The moment these accounting identities match, the firm will stop contracting because this is the point of maximum productivity that will be able to maximize profit.

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A bank has on-balance-sheet assets with a book value of $940 million and a market value of $985 million and on-balance-sheet lia
horsena [70]

Answer:

$45 million

Explanation:

Data provided in the question:

Book value of assets = $940 million

Market value of assets = $985 million

Book value of liabilities = $900 million

Market value of liabilities = $930 million

off-balance-sheet assets = $150 million

Off-balance-sheet liabilities = $160 million

Now,

Stockholders Net worth

= Market value of assets + Off balance sheet assets - Market value of liabilities - Off balance sheet liabilities

= $985 million + $150 million - $930 million - $160 million

= $45 million

8 0
4 years ago
For each of the following kinds of insurance, give an example of behaviour that can be normal hazard and another example of beha
algol13

Answer:

Health insurance: working without safety equipment

Car insurance: reckless drive

Health insurance: withhold of the information that the insured is a smoker

Car insurance: withhold of the information that insured lives in neighborhood with high crime levels

Explanation:

Moral hazard relates to the behavior that enlarges the possibility of occurrence of undesired events that is insured. In health care the example could be a person that does risky jobs without wearing safety equipment. That is something that can easily lead to that person's deterioration of health at job. In car insurance, that can be reckless drive of an insured. Adverse selection happens when for instance signee of policy insurance withholds certain information, whose revelation would have potential elevating effect on paid premiums. In healthcare it could be non-disclosure of the information that the insured is a smoker, where in the application says otherwise. In car insurance it could be withhold of the information that the insured lives in the neighborhood with high crime level, while in the policy it is stated otherwise.

5 0
3 years ago
World City: dominant city in terms of its role in the global political economy. Not the world's biggest city in terms of populat
trapecia [35]

World City: dominant city in terms of its role in the global political economy. Not the world's biggest city in terms of population or industrial output, but rather centers of strategic control of the world economy.

Explanation:

The financial centre, the stock market and large financial institutions can occur. Trade and economic dominance of a large area. Port city and container processing centres. There is tremendous everyday and strategic decision-making capacity.

The World Economic and business Master will give students in Liberal Arts an interdisciplinary guide to the effects of economic globalization as well as the changes it introduces to the global where the US performs its economic and political ties with another country.

5 0
3 years ago
When inventory increases, which costing method generally results in higher net income?.
likoan [24]

Answer: Income is higher under absorption costing by $15,000. This is consistent with a general rule of thumb: Increases in inventory cause income to be higher under absorption costing than under variable costing, and vice versa.

Explanation:

3 0
2 years ago
Which is an example of a withholding you might see on your pay stub?
Ira Lisetskai [31]
A withholding you might see on your pay stub can include a retirement savings or a health insurance payment. 
7 0
3 years ago
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