Multiple Choice
The table below contains information about a firm's marginal revenue product of capital. 
Suppose the rental price of capital is $425,000. How many units should the firm hire to maximize profit?
A) The firm should hire 3,000 units or, if fractional units are possible, less than 4,000 but more than 3,000 units.
B) The firm should hire 4,000 units or, if fractional units are possible, less than 5,000 but more than 4,000 units.
C) The firm should hire 5,000 units.
D) The firm should hire 6,000 units or, if fractional units are possible, less than 7,000 but more than 6,000 units.
E) The firm should hire 7,000 units or, if fractional units are possible, less than 6,000 but more than 7,000 units.
Correct Answer:
Verified
Correct Answer:
Verified
Q40: Suppose you are considering purchasing stock from
Q62: One possible role for government is to
Q67: One major reason for the outbreak of
Q71: Suppose the U.S. government issues a one-year
Q88: In reality, it has been confirmed that
Q96: Which of the following is not an
Q98: Depreciation occurs when<br>A)machines wear out.<br>B)factories get old.<br>C)capital
Q123: Suppose a stock has the same expected
Q160: Government has a role to play in
Q163: The equilibrium risk-return curve for a risk-loving