Asked by
Crystal Merenda
on Nov 06, 2024
Verified
If the MRP of land is less than its price, a firm should
A) use more land.
B) use less land.
C) try to decrease the productivity of land.
D) increase the price it is willing to pay for land.
MRP
Material Requirements Planning is a system for calculating the materials and components needed to manufacture a product.
Productivity
The measure of how efficiently inputs are converted into outputs in a production process.
- Gain insight into the marginal revenue product (MRP) and its significance in influencing company decisions about the use of labor and land.
- Comprehend the financial logic in adjusting the usage of production inputs according to their Marginal Revenue Product (MRP) relative to their cost.
Verified Answer
JW
Learning Objectives
- Gain insight into the marginal revenue product (MRP) and its significance in influencing company decisions about the use of labor and land.
- Comprehend the financial logic in adjusting the usage of production inputs according to their Marginal Revenue Product (MRP) relative to their cost.