Exhibit 21-14 Assume That Labor Is the Only Variable Input

Multiple Choice

Exhibit 21-14
Assume that labor is the only variable input and that each additional laborer is paid $600.
-Refer to Exhibit 21-14. What is the marginal cost of producing this good with 1 and 2 laborers working [blanks (E) and (F) ], respectively?

A) $600; $300
B) $60; $30
C) $8; $12
D) $6; $8
E) none of the above