Question

The cookie company in the mall hires only labor to produce cookies. The workers are paid $75 per day, and the cost of renting the space in the mall is $400 per day. The daily fixed costs of production are Choose one: A. $75 . B. $475 . C. $150 . D. $0. E. $400 . The labor cost per day of hiring two workers is $ . The total cost per day when three workers are hired is $ . The marginal product per day of the fourth worker is cookies.

Answer 1

I believe the initial answer is B. The labor cost per day of hiring two workers is $150. I'm not sure about the last question.