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A farmer who has fixed amounts of land and capital finds that total product is 24 for the first worker hired; 32 when two workers are hired; 37 when three are hired; and 40 when four are hired. The farmer's product sells for $3 per unit and the wage rate is $13 per worker. The marginal revenue product of the second worker is

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lavanyaande

The marginal revenue product of second worker is $24 .

Explanation:

The marginal revenue product measures the amount by which the addition of one more worker increases a firm's total revenue.

Given:  

Total product produced by first worker- 24

Total product produced by two workers- 32

Total product produced by three workers- 37

Total product produced by four workers- 40

Cost of one product- $3

Wage of a worker- $13

Marginal revenue product of second worker= $24

abiolataiwo2015

The marginal revenue product of the second worker is $24.

First step is to calculate the change in product when worker increases from one to two workers  

Change in product =32 - 24

Change in product  = 8 products

Second step is to calculate the Marginal revenue product

Marginal revenue product=Marginal product of labor × Product price

Marginal revenue product= 8 × $3

marginal revenue product = $24

Inconclusion the marginal revenue product of the second worker is $24.

Learn more about marginal revenue product here:https://brainly.com/question/17115836

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