1. A firm is planning to hire another worker and in total this will cost them $12 per hour. They expect the worker to bring in revenue from extra sales of $18 per hour. They should hire the worker. T/F
2. When a firm produces another unit of output the total cost rises from $700 to $820. It was a good decision to produce this unit. T/F
3. Which of these are an economic decision?
a.) Bill saves 10% of his paycheck each month
b.) John spends 4 hours doing his laundry
c.) George studies for economics three hours per week
d.) All
e.) None
Solution - 1
This is true
Means it is good to hire the worker because the revenue we earn is more than the cost of the worker
Solution 2
This is False
Means it is not a good decision to produce this unit because the cost gets increased in place of decreasing by producing more unit
Solution 3
The correct answer is (A)
That is Bill saves 10% of his paycheck each month
1. A firm is planning to hire another worker and in total this will cost them...
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