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KATRIN_1 [288]
4 years ago
7

Refer to the following table:

Business
1 answer:
Alexeev081 [22]4 years ago
5 0

Answer:

1. What is the value for the cell labeled AA?

  • C. $400

2. What is the value for the cell labeled BB?

  • B. -$100

3. What is the value for the cell labeled CC?

  • D. 50

4. What is the value for the cell labeled DD?

  • B. $100

Explanation:

# of           output     marginal       value of         wage       marginal

workers                    product        marginal                         profit

                                 of labor        prod. of L.

0                    0              --                 --                  $300           --

1                 300          300             $600              $300       $300

2                500          200               AA                $300       $100

3                600          100              $200              $300         BB

4                650          CC                 DD                $300      -$200

AA = 200 x $2 = $400

BB = $200 - $300 = -$100

CC = 650 - 600 = 50

DD = 50 x $2 = $100

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