ANSWER:
a
82. The cost of your favorite coffee is $5 per cup at the coffee shop. The marginal cost of each cup you drink is _____. The first cup of coffee you drink gives you a marginal benefit of $8. The marginal benefit from the second cup is $6, $4 from the third, $2 from the fourth, and $0 from the fifth. You should drink _____ cups of coffee.
a.
$5; two
b.
$0; three
c.
$2; five
d.
$5; three
ANSWER:
a
83. Marie Johnston is a manager at an electronics store and has to decide how many workers to hire. If she hires one worker, her revenue is $500 per day. If she hires another worker, she can make another $400 per day. The marginal benefit of hiring another worker decreases by $100 with each additional hire. Assuming that workers are paid $15 per hour and work eight hours, how many employees should Marie hire, and what will be the total revenue of her store?
a.
She will hire three workers and the revenue of the store will be $1,200.
b.
She will hire four workers and the revenue of the store will be $1,400.
c.
She will hire four workers and the revenue of the store will be $1,400.
d.
She will hire six workers and the revenue of the store will be $1,500.
ANSWER:
b
84. Marie Johnston is a manager at an electronics store, and she has to decide how many workers to hire. If she hires one worker, her revenue is $400 per day. If she hires another worker, she can make another $350 per day. The marginal benefit of hiring another worker decreases by $50 with each additional hire. Assuming that workers are paid $20 per hour and work eight hours, how many employees should Marie hire, and what will be the total revenue of her store?
a.
She will hire four workers and the revenue of the store will be $1,300.
b.
She will hire five workers and the revenue of the store will be $1,500.
c.
She will hire six workers and the revenue of the store will be $1,650.
d.
She will hire seven workers and the revenue of the store will be $1,750.
ANSWER:
b
85. Marie Johnston is a manager at an electronics store and has to decide how many workers to hire. If she hires one worker, her revenue is $800 per day. If she hires another worker, she can make another $600 per day. The marginal benefit of hiring another worker decreases by $200 with each additional hire. Assuming that workers are paid $20 per hour and work eight hours, how many employees should Marie hire, and what will be the total revenue of her store?
a.
She will hire two workers and the revenue of the store will be $1,400.
b.
She will hire three workers and the revenue of the store will be $1,800.
c.
She will hire four workers and the revenue of the store will be $2,000.
d.
She will hire five workers and the revenue of the store will be $2,000.
ANSWER:
c
86. Marie Johnston is a manager at an electronics store and has to decide how many workers to hire. If she hires one worker, her revenue is $800 per day. If she hires another worker, she can make another $600 per day. The marginal benefit of hiring another worker decreases by $200 with each additional hire. Assuming that workers are paid $20 per hour and work eight hours, how many employees should Marie hire, and what will be her total cost for labor?
a.
She will hire two workers at a total cost of $160.
b.
She will hire three workers at a total cost of $480.
c.
She will hire four workers at a total cost of $640.
d.
She will hire five workers at a total cost of $2000.
ANSWER:
c
87. Charles McCoy is a manager at a coffee shop, and he has to decide how many workers to hire. One worker can make 25 drinks that sell for $5 on average in one hour. A second worker can make another 20 drinks in one hour. The marginal benefit of each additional worker decreases by five drinks, with each additional hire. Given that workers are paid $15 per hour and have eight-hour shifts, how many employees should Charles hire for each hour?
a.
Three