The marginal revenue product of labor (MRPL) shows how much revenue an additional employee will generate once hired. The formula is: MRPL x Value. If hiring an additional employee increases production by 10 unit
The marginal product of labor is defined as the addition to the total output that an additional unit of labor brings to the production product. The... Learn more about this topic: Marginal Revenue | Definition, Formula & Calculation from ...
marginal revenue The extra revenue generated by selling one additional unit of a good or service. For example, if a firm can sell 10 units of a product at a price of $25 per unit, total revenue is $250. If, in order to sell 11 units, it must reduce the price to $24, total reve...
If the value of the marginal revenue product (MRP) of labor exceeds the wage rate, then a competitive, profit-maximizing firm would want to hire more labor. ( ) 相关知识点: 试题来源: 解析 正确 边际生产收益(MRP)是劳动力的边际产品(MP)乘以边际收益(MR)。对于竞争性企业,MR等于产品价格(P),...
additional units ofOUTPUT. The marginal revenue product of a factor is given by the factor'sMARGINAL PHYSICAL PRODUCT(MPP) multiplied by theMARGINAL REVENUEof the product. (In the case of products sold in perfectly competitive markets, marginal revenue equals price so the MRP is equal to MPPx...
A firm's marginal revenue product of labor equals the marginal product of labor multiplied by the per-unit cost of labor. True or false? Diminishing marginal product exists when the total product curve is increasing and becomes steeper as the...
The definition of one labor unit can vary by company, but typically, one employee is one labor unit. The goal for the company is to find the number of employees it must hire to achieve maximum production and maximum revenue. Too few employees means you won't have enough to be productive...
Marginal revenue product (MRP), also known as the marginal value product, is the marginal revenue created due to an addition of one unit of resource. The marginal revenue product is calculated by multiplying the marginal physical product (MPP) of the resource by the marginal revenue (MR) gener...
So, what exactly is Marginal Revenue Product? Simply put, MRP is a measure of the additional revenue a firm generates by employing one more unit of a resource, such as labor or capital. It helps companies assess the value that each additional unit of a resource brings to their bottom line...
Marginal Product of Labor | Formula & Examples from Chapter 3/ Lesson 49 125K Understand the meaning of marginal product of labor. Learn the marginal product of labor (MPL) formula, its significance, and how to calculate MPL with examples. ...