Table 30.2 $$\begin{array} { | c | c | c | c | c | }
\hline \begin{array} { c }
\text { Nurrber of } \
\text { stylists (per } \
\text { week) }
\end{array} & \begin{array} { c }
\text { Total output } \
\text { (per week) }
\end{array} & \begin{array} { c }
\text { Marginal } \
\text { physical } \
\text { product } \
\text { (output per } \
\text { stylist) }
\end{array} & \begin{array} { c }
\text { Total revenue } \
\text { (dollars per } \
\text { week) }
\end{array} & \begin{array} { c }
\text { Marginal revenue } \
\text { product (dollars } \
\text { per stylist) }
\end{array} \
\hline 0 & \text { c } & \ldots & & \ldots \
\hline 1 & 6 t & & \
\hline 2 & 80 & & \
\hline 3 & 9 d & & \
\hline 4 & 94 & & \
\hline
\end{array}$$ Table 30.2 shows how many hairstyling appointments a hair salon can schedule per week based on the number of stylists.In the spaces provided,compute the marginal physical product (MPP)of the hair stylists,total revenue,and marginal revenue product of the stylists,assuming that a hair stylist charges $60 per appointment.What is the marginal revenue product of the second hairstylist?
A)$80 per week.
B)$1,200 per week.
C)$20 per week.
D)$4,800 per week.

Question

Table 30.2 $$\begin{array} { | c | c | c | c | c | } 
\hline \begin{array} { c } 
\text { Nurrber of } \
\text { stylists (per } \
\text { week) }
\end{array} & \begin{array} { c } 
\text { Total output } \
\text { (per week) }
\end{array} & \begin{array} { c } 
\text { Marginal } \
\text { physical } \
\text { product } \
\text { (output per } \
\text { stylist) }
\end{array} & \begin{array} { c } 
\text { Total revenue } \
\text { (dollars per } \
\text { week) }
\end{array} & \begin{array} { c } 
\text { Marginal revenue } \
\text { product (dollars } \
\text { per stylist) }
\end{array} \
\hline 0 & \text { c } & \ldots & & \ldots \
\hline 1 & 6 t & & \
\hline 2 & 80 & & \
\hline 3 & 9 d & & \
\hline 4 & 94 & & \
\hline
\end{array}$$ Table 30.2 shows how many hairstyling appointments a hair salon can schedule per week based on the number of stylists.In the spaces provided,compute the marginal physical product (MPP)of the hair stylists,total revenue,and marginal revenue product of the stylists,assuming that a hair stylist charges $60 per appointment.What is the marginal revenue product of the second hairstylist?
A)$80 per week.
B)$1,200 per week.
C)$20 per week.
D)$4,800 per week.

Quizplus · Accepted Answer

The marginal revenue product (MRP) of the second hairstylist is calculated by first finding the increase in output (marginal physical product, MPP) due to the addition of the second stylist, which is the difference in total output between having two stylists (80 appointments) and one stylist (60 appointments), giving us 20 additional appointments. The MRP is then found by multiplying this MPP by the price per appointment ($60), resulting in $1,200 per week.

Table 302 Table 302 Shows How Many Hairstyling Appointments a Hair Salon Can