Question: question number 9 A manager needs to decide whether or not to hire one more hour of labor. The MPL is 40 units, the selling

question number 9

A manager needs to decide whether or not to hire one more hour of labor. The MPL is 40 units, the selling price of the output is $0.75 per unit, and the hourly wage is $32.00. Which of the following indicates what the manager should do and for the right reason? O The manager should hire the additional hour of labor because the VMPL is positive. O The manager should hire the additional hour of labor because the VMPL is greater than the wage rate. O The manager should not hire the additional hour of labor because the wage rate is greater than the per-unit price. O The manager should hire the additional hour of labor because the MPL is positive. The manager should not hire the additional hour of labor because the VMPL is less than the wage rate

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Economics Questions!

Chen Chocolate Companys EPS in 2020 was $1.80, and in 2015 it was $1.25. The companys payout ratio is 60%, and the stock is currently valued at $37.75. Flotation costs for new equity will be 12%. Net...

1.A local restaurant is expanding. The manager needs to decide whether to hire new employees or purchase more machines (capital). You know that employees cost $20/hour and produce about 40 more units...

A local restaurant is expandingThe manager needs to decide whether to hire new employees or purchase more machines ( capital ) You know that employees cost $ 1 5 / hour and produce about 2 0 more...

A local restaurant is expanding. The manager needs to decide whether to hire new employees or purchase more machines ( capital ) You know that employees cost $ 2 0 / hour and produce about 3 0 more...

Hi, Dear Daniel, Thank you for reaching out to me for an economics perspective on your coffee-roasting factory. Based on the financial data you provided, I have some recommendations for you to...

download the...

Listen to the following videos and then complete the assignments using the changed numbers on the guidance report. Place your answers on the guidance report. Open the Guidance Report and rework the...

check on the file and download the...

I have attached all documents, including the homework question. I can answer question 1, but I need help on 2 and 3. ACT 5140 ? Accounting for Decision Makers HW #2 ? Chapter 9 Question #1 List and...

This question require you to provide answers in same Excel and I want it in two days time. NAME COURSE: Managerial Accounting MID-TERM Instructor: Dan Sevall Instructions: THIS MID EXAMS IS TAKE HOME...

Longfellow Company performed services in July for a specific customer, for a fee of $8,380. Payment was received the following August. (a) Was the revenue earned in July or August? (b) What accounts...

Holstein Computing manufactures an inexpensive audio card (Audio Max) for assembly into several models of its microcomputers. The annual demand for this part is 100,000 units. The annual inventory...

Market development includes entering new geographic or demographic markets true or false

how can you relate battery-operated wristwatches to the Climate Change Act of 2009?

a. Review the Statement of Cash Flows for the year ended 12/31/12 for Disney Company and indicate the source of their cash generated during the year. b. Comment on how the company used its cash...

If light is neither reflected nor absorbed by a material, what happens to it? Photons do not enter the material at all. Photons are scattered by electrons in the chemical bonds in the material....

What is the effect on the peak corresponding to an acid component when the pH of mobile phase decreases in reverse phase chromatography?

Jerry Carter's home is currently valued, on a cost basis, at $315,000. When he last checked his policy, his home was insured for $235 000, and he did not have an inflation guard If he has a s25,500...

How should the long-term care system balance institutional and non-institutional forms of long-term care? What factors should be taken into account?

2. Find out if there are other reference points that can be used as reasonable alternatives.

1. Identify your reference point when making a decision based on an element of risk.

3. If there are reasonable alternatives, think about your decisions based on the different reference points and see if there are any contradictions in the decisions.