A single firm in Aluminum Valley hires computer coders. The market supply of computer coder labor is given here.
\begin{tabular}{lll}
Wage (per hour) & Quantity of labor supplied & Total cost of labor \
\hline$\$ 10$ & 1 & $\$ 10$ \
$\$ 20$ & 2 & $\$ 40$ \
$\$ 30$ & 3 & $\$ 90$ \
$\$ 40$ & 4 & $\$ 160$ \
$\$ 50$ & 5 & $\$ 250$
\end{tabular}

What is the marginal factor cost of the fifth worker?
Choose 1 answer:
(A) $\$ 10$
(B) $\$ 90$
(C) $\$ 70$
(D) $\$ 50$
(E) $\$ 250$

Question

A single firm in Aluminum Valley hires computer coders. The market supply of computer coder labor is given here.
\begin{tabular}{lll} 
Wage (per hour) & Quantity of labor supplied & Total cost of labor \
\hline$\$ 10$ & 1 & $\$ 10$ \
$\$ 20$ & 2 & $\$ 40$ \
$\$ 30$ & 3 & $\$ 90$ \
$\$ 40$ & 4 & $\$ 160$ \
$\$ 50$ & 5 & $\$ 250$
\end{tabular}

What is the marginal factor cost of the fifth worker?
Choose 1 answer:
(A) $\$ 10$
(B) $\$ 90$
(C) $\$ 70$
(D) $\$ 50$
(E) $\$ 250$

Accepted Answer

∻Solution∻ ‖ a ⋮ Marginal Factor Cost (MFC) Definition: The MFC is the additional cost to a firm of hiring one more unit of labor. ‖ ‖ b ⋮ Calculation of MFC for the fifth worker: To find the MFC for the fifth worker, we look at the increase in total cost of labor when the fifth worker is hired. The total cost for four workers is $160, and for five workers, it is $250. The MFC for the fifth worker is the difference between these two total costs. ‖ ‖ c ⋮ Mathematical Expression: MFC = Total Cost for 5 workers - Total Cost for 4 workers = \$250 - \$160 = \$90 ‖ ∻Answer∻ ⚹ (B) $90 ⚹ ∻Key Concept∻ ⚹ Marginal Factor Cost (MFC) ⚹ ∻Explanation∻ ⚹ The MFC for the fifth worker is the additional cost incurred from hiring that worker, which is calculated by the change in total cost of labor.◊What is the formula for calculating the marginal factor cost of labor in this scenario?⍭ Generate me a similar question◊⚹

Sia