A radio manufacturer is experiencing theft problems at its warehouse and has decided to hire security guards to reduce the thefts.The firm wants to maximize the net benefit of warehouse security guards. $\begin{array}{c} \begin{array}{c} \text {Number of}\\ \text { Security Guards}\\ 0\\ 1\\ 2\\ 3\\ 4\\ 5\\ \end{array} \begin{array}{c} \text {Number of Radios}\\ \text { Stolen Per Week }\\ 50\\ 30\\ 20\\ 14\\ 8\\ 6\\ \end{array} \end{array}$ Given the above info,if each security guard is paid $200 a week and the cost of a stolen radio is $50,how many security guards should the firm hire?

A) 1 B) 2 C) 3 D) 4 E) 5 A) 1 B) 2 C) 3 D) 4 E) 5

agency is having problems with personal phone calls made during working hours.Each minute of a personal call costs the agency $0.50 in wasted wages.The agency hires operators to monitor calls in order to attain the optimal number of personal calls (minimize total cost of personal calls). \[\begin{array} { c c } & \text { Total minutes af }\\ \text { Numbe of } & \text { personal calls (per } \\ \text { Operators } & \text { hour) } \\ \hline 0 & 600 \\ 1 & 480 \\ 2 & 410 \\ 3 & 370 \\ 4 & 350 \\ \hline \end{array}\] Based on the above information,if operators receive $25 an hour,how many operators should the agency hire?

A) 0 B) 1 C) 2 D) 3 E) 4 A) 0 B) 1 C) 2 D) 3 E) 4

agency is having problems with personal phone calls made during working hours.Each minute of a personal call costs the agency $0.50 in wasted wages.The agency hires operators to monitor calls in order to attain the optimal number of personal calls (minimize total cost of personal calls). \[\begin{array} { c c } & \text { Total minutes af }\\ \text { Numbe of } & \text { personal calls (per } \\ \text { Operators } & \text { hour) } \\ \hline 0 & 600 \\ 1 & 480 \\ 2 & 410 \\ 3 & 370 \\ 4 & 350 \\ \hline \end{array}\] Based on the above information,if operators receive $25 an hour,what is the minimum possible total cost of personal calls (per hour)?

A) $460 B) $255 C) $120 D) $ 85 E) none of the above A) $460 B) $255 C) $120 D) $ 85 E) none of the above

A metal refining plant emits sulfur dioxide into the air and has decided to install air scrubbers to reduce the amount of pollution.Each scrubber costs $180,000 and the Environmental Protection Agency (EPA)fines the plant $5,000 for every part of pollution emitted per million. $\begin{array}{cccc} \text { Number of air } & \text { Amount of pollution } \\ \text { scrubbers } & \text { (parts per milion) } \\ 0 &150\\ 1&100\\ 2&60\\ 3&30\\ 4&10\\ 5&0 \end{array}$ Based on the information above,how many air scrubbers should the plant install in order to minimize the total cost of pollution?

A) 1 B) 2 C) 3 D) 4 E) 5 A) 1 B) 2 C) 3 D) 4 E) 5

A housecleaning company receives $25 for each house cleaned.The table below gives the relation between the number of workers and the number of houses that can be cleaned per week. \[\begin{array} { c c } \text { Momber of Wariters } & \text { Hauses Cieaved } \\ \hline 1 & 9 \\ 2 & 17 \\ 3 & 24 \\ 4 & 30 \\ 5 & 35 \end{array}\] Based on the above info,if the company want to maximize profit and hires three workers,the wage rate of a housecleaner can be no more than

A) $175. B) $200. C) $225. D) $600. E) none of the above A) $175. B) $200. C) $225. D) $600. E) none of the above

A radio manufacturer is experiencing theft problems at its warehouse and has decided to hire security guards to reduce the thefts.The firm wants to maximize the net benefit of warehouse security guards. $\begin{array}{c} \begin{array}{c} \text {Number of}\\ \text { Security Guards}\\ 0\\ 1\\ 2\\ 3\\ 4\\ 5\\ \end{array} \begin{array}{c} \text {Number of Radios}\\ \text { Stolen Per Week }\\ 50\\ 30\\ 20\\ 14\\ 8\\ 6\\ \end{array} \end{array}$ Given the above info,in order to minimize the NET cost of theft,a firm should choose the level of theft prevention at which

A) theft is eliminated. B) the marginal benefit of theft equals the marginal cost of the theft. C) the total benefit of theft prevention equals the total cost of the theft prevention. D) the marginal benefit of theft prevention equals the marginal cost of preventing theft. E) the total cost of theft prevention equals the total cost of preventing theft. A) theft is eliminated. B) the marginal benefit of theft equals the marginal cost of the theft. C) the total benefit of theft prevention equals the total cost of the theft prevention. D) the marginal benefit of theft prevention equals the marginal cost of preventing theft. E) the total cost of theft prevention equals the total cost of preventing theft.

Exam 3: Marginal Analysis for Optimal Decisions

A radio manufacturer is experiencing theft problems at its warehouse and has decided to hire security guards to reduce the thefts.The firm wants to maximize the net benefit of warehouse security guards. Number of Security Guards 0 1 2 3 4 5 Number of Radios Stolen Per Week 50 30 20 14 8 6 Given the above info,if each security guard is paid $200 a week and the cost of a stolen radio is $50,how many security guards should the firm hire?

(Multiple Choice)

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Question 21

Whenever the additional revenue from the last unit of output exceeds the additional cost of that unit,a profit-maximizing firm should

(Multiple Choice)

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Question 22

agency is having problems with personal phone calls made during working hours.Each minute of a personal call costs the agency $0.50 in wasted wages.The agency hires operators to monitor calls in order to attain the optimal number of personal calls (minimize total cost of personal calls). Total minutes af Numbe of personal calls (per Operators hour) 0 600 1 480 2 410 3 370 4 350 Based on the above information,if operators receive $25 an hour,how many operators should the agency hire?

(Multiple Choice)

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Question 23

agency is having problems with personal phone calls made during working hours.Each minute of a personal call costs the agency $0.50 in wasted wages.The agency hires operators to monitor calls in order to attain the optimal number of personal calls (minimize total cost of personal calls). Total minutes af Numbe of personal calls (per Operators hour) 0 600 1 480 2 410 3 370 4 350 Based on the above information,if operators receive $25 an hour,what is the minimum possible total cost of personal calls (per hour)?

(Multiple Choice)

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Question 24

A clinic uses doctors and nurses optimally and is servicing the maximum number of patients given a limited annual payroll.The last doctor hired treated 1,600 extra patients in a year,while the last nurse hired treated 1,000 extra patients in a year.If doctors make $50,000 a year and nurses make $40,000 a year,then

(Multiple Choice)

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Question 25

A firm is deciding whether or not to close down its plant and modernize by installing new technology.Which of the following should management ignore when making the decision?

(Multiple Choice)

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Question 26

A metal refining plant emits sulfur dioxide into the air and has decided to install air scrubbers to reduce the amount of pollution.Each scrubber costs $180,000 and the Environmental Protection Agency (EPA)fines the plant $5,000 for every part of pollution emitted per million. Number of air Amount of pollution scrubbers (parts per milion) 0 150 1 100 2 60 3 30 4 10 5 0 Based on the information above,how many air scrubbers should the plant install in order to minimize the total cost of pollution?

(Multiple Choice)

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Question 27

If the marginal benefits of increasing study time are less than the marginal costs,then

(Multiple Choice)

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Question 28

continuous choice variable

(Multiple Choice)

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Question 29

Refer to the following table: What is the marginal cost for the 5th unit of the activity?

(Multiple Choice)

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Question 30

A housecleaning company receives $25 for each house cleaned.The table below gives the relation between the number of workers and the number of houses that can be cleaned per week. Momber of Wariters Hauses Cieaved 1 9 2 17 3 24 4 30 5 35 Based on the above info,if the company want to maximize profit and hires three workers,the wage rate of a housecleaner can be no more than

(Multiple Choice)

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Question 31

Refer to the following table: What is the net benefit of the 5^th unit of the activity?

(Multiple Choice)

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Question 32

A manager in charge of new product development can hire engineers and market researchers.The annual salary of an engineer is $30,000 and that of a market researcher is $20,000.The marginal contribution of engineers and market researchers are Given the above information,if the manager currently has two engineers and one market researcher,what must be true?

(Multiple Choice)

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Question 33

Which of the following statements represents bad decision making?

(Multiple Choice)

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Question 34

Randolph is taking three courses this semester: economics,statistics,and finance.He has decided to spend 20 hours per week studying (in addition to attending all his classes)and his objective is to maximize his average grade,which means maximizing the total of his grades in the three courses.The table shows Randolph's estimate of the relation between time spend studying and his grade for each course. Based on the above info,what is the maximum AVERAGE grade Randolph can earn if he studies 20 hours per week?

(Multiple Choice)

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Question 35

A radio manufacturer is experiencing theft problems at its warehouse and has decided to hire security guards to reduce the thefts.The firm wants to maximize the net benefit of warehouse security guards. Number of Security Guards 0 1 2 3 4 5 Number of Radios Stolen Per Week 50 30 20 14 8 6 Given the above info,in order to minimize the NET cost of theft,a firm should choose the level of theft prevention at which

(Multiple Choice)

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Question 36

Refer to the following table: What is marginal benefit for the 3rd unit of the activity?

(Multiple Choice)

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Question 37

A dentist's office,which wants to serve the maximum number of patients given a fixed payroll,currently has two dentists and four dental hygienists.Dentists earn $60,000 a year and hygienists earn $15,000 a year.If the office is hiring the optimal combination of dentists and hygienists,and the last dentist hired served 120 additional patients,how many patients will the last hygienist hired add?

(Multiple Choice)

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Question 38

A Blue Ribbon Committee has decided that acid rain should be reduced and is trying to determine the optimal level of reduction.There are benefits from reducing acid rain (more wildlife and forests,better health,etc.),but there are also costs.The committee estimates that the marginal benefit of each unit of reduction is $700 - 5R,where R is units of reduction,and the marginal cost is 2R.If the committee wants to maximize the net benefit from reducing acid rain,what is the optimal level of pollution reduction?

(Multiple Choice)

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Question 39

Use the following marginal benefit and marginal cost functions for activity A: MB = 100 - 5A MC = 20 + 3A The fifth unit of activity A will

(Multiple Choice)

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Question 40

Showing 21 - 40 of 98

Whenever the additional revenue from the last unit of output exceeds the additional cost of that unit,a profit-maximizing firm should

A firm is deciding whether or not to close down its plant and modernize by installing new technology.Which of the following should management ignore when making the decision?

If the marginal benefits of increasing study time are less than the marginal costs,then

continuous choice variable

Refer to the following table: What is the marginal cost for the 5th unit of the activity?

Refer to the following table: What is the net benefit of the 5^th unit of the activity?

Which of the following statements represents bad decision making?

Refer to the following table: What is marginal benefit for the 3rd unit of the activity?

Use the following marginal benefit and marginal cost functions for activity A: MB = 100 - 5A MC = 20 + 3A The fifth unit of activity A will

Managers,profits,and Markets

Demand,supply,and Market Equilibrium

Basic Estimation Techniques

Theory of Consumer Behavior

Elasticity and Demand

Demand Estimation and Forecasting

Production and Cost in the Short Run

Production and Cost in the Long Run

Production and Cost Estimation

Managerial Decisions in Competitive Markets

Managerial Decisions for Firms With Market Power

Strategic Decision Making in Oligopoly Markets

Advanced Pricing Techniques

Decisions Under Risk and Uncertainty

Government Regulation of Business

Filters

Exam 3: Marginal Analysis for Optimal Decisions

Whenever the additional revenue from the last unit of output exceeds the additional cost of that unit,a profit-maximizing firm should

A firm is deciding whether or not to close down its plant and modernize by installing new technology.Which of the following should management ignore when making the decision?

If the marginal benefits of increasing study time are less than the marginal costs,then

continuous choice variable

Refer to the following table: What is the marginal cost for the 5th unit of the activity?

Refer to the following table: What is the net benefit of the 5th unit of the activity?

Which of the following statements represents bad decision making?

Refer to the following table: What is marginal benefit for the 3rd unit of the activity?

Use the following marginal benefit and marginal cost functions for activity A: MB = 100 - 5A MC = 20 + 3A The fifth unit of activity A will

Managers,profits,and Markets

Demand,supply,and Market Equilibrium

Basic Estimation Techniques

Theory of Consumer Behavior

Elasticity and Demand

Demand Estimation and Forecasting

Production and Cost in the Short Run

Production and Cost in the Long Run

Production and Cost Estimation

Managerial Decisions in Competitive Markets

Managerial Decisions for Firms With Market Power

Strategic Decision Making in Oligopoly Markets

Advanced Pricing Techniques

Decisions Under Risk and Uncertainty

Government Regulation of Business

Filters

Refer to the following table: What is the net benefit of the 5^th unit of the activity?