Solved

Assume Manfred's Shoe Shine Parlor Hires Labor, Its Only Variable

Question 328

Multiple Choice

Assume Manfred's Shoe Shine Parlor hires labor, its only variable input, under purely competitive conditions. Shoe shines are also sold competitively. Assume Manfred's Shoe Shine Parlor hires labor, its only variable input, under purely competitive conditions. Shoe shines are also sold competitively. If the wage rate is $11 and Manfred's only fixed input is capital, the total cost of which is $30, then what will be his economic profit? A) 64 B) 42 C) 32 D) 28 If the wage rate is $11 and Manfred's only fixed input is capital, the total cost of which is $30, then what will be his economic profit?


A) 64
B) 42
C) 32
D) 28

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q323: Which of the following will not shift

Q324: Hiring the profit-maximizing combination of resources ensures

Q325: What will the elasticity of resource demand

Q326: If a firm is hiring inputs under

Q327: In the marginal productivity theory of income

Q329: Harry owns a barbershop and charges $15

Q330: Assume that an appliance manufacturer is employing

Q331: Which of the following decreases in labor

Q332: Explain how resource pricing relates to money-income

Q333: Assume Manfred's Shoe Shine Parlor hires labor,