13. (04.05 MC) Patricia owns a cleaning business with Sarah. They both have other jobs and are trying to determine the number of hours to work at the cleaning business. The following payoff matrix shows their daily incomes depending on the number of hours they work at the cleaning business. Sarah Full time Part time Patricia Full time $60, $60 $50, $80 Part time $80, $50 $55, $55 If Sarah works full time, Patricia should. If Patricia works full time, Sarah should (2 points) O Work part time; work full time O Work part time; work part time O Work full time; work part time O Work full time; work full time Insufficient data to determine15. (04.05 MC) Megan and Martha own competing hair salons that are in the same neighborhood. They are both considering offering their clients discounts in order to increase business. The payoff matrix shows their yearly incomes in thousands of dollars if they offer and do not offer discounts to their customers. Martha Discount No Discount Megan Discount $50, $75 $75, $60 No Discount $35, $90 $70, $85 If both Megan and Martha did not discount, what would each earn in yearly income? (2 points) O Megan would earn $50,000; Martha would earn $75,000. O Megan would earn $75,000; Martha would earn $60,000. Megan would earn $35,000; Martha would earn $90,000. Megan would earn $70,000; Martha would earn $85,000. O Megan would earn $35,000; Martha would earn $85,000.N O O O O O (J 14.(04.05HC) Company A and Company B are each telecommunications manufacturers. Both companies manufacture the same products, and they make their decisions based on the other's actions. Both companies are considering opening retail outlets to increase their profits. The payoff matrix shows the profits of the companies in millions of dollars if they choose to open retail outlets. Company B Retail outlets No retail outlets Company A Retail outlets $25,.562b s30:515 No retail outlets $35, $35 $34, 820 The government imposes a new $5 million tax to open retail outlets. What is the expected outcome of the new payoff matrix, given the tax? (2 points) The Nash equilibrium will be that both companies will not open retail stores. The Nash equilibrium does not change as a result of the tax. Company A's dominant strategy remains the same, and it will open retail stores. Company B's dominant strategy remains the same, and it will not open retail stores. Company A's dominant strategy changes, and both companies will open retail stores. [ O 10.(0503Mc) Use the table to answer the question that follows. Quantity of Labor MP of Labor Quantity of Capital MP of Capital 1 30 1 50 2 25 2 40 3 20 3 35 4 15 4 15 5 10 5 5 What combination of labor and capital would satisfy the input hiring rule that minimizes the cost of production, if the price of labor is $10 and the price of capital is $20? (3 points) (O 1 unit of labor; 3 units of capital O 2 units of labor; 1 unit of capital O 3 units of labor; 4 units of capital O 4 units of labor; 4 units of capital O 5 units of labor; 5 units of capital 00 0 00 $30 $40 $80 $100 $3,250 [0 12.(05.03 HC) Use the data in the tables to answer the question that follows. Market Price of Output Quantity Supplied of Output Quantity Demanded of Output $5 $10 $15 $20 $25 25,000 50,000 75,000 100,000 125,000 60,000 50,000 40,000 30,000 20,000 Firm Quantity of Labor Total Product 0 15 30 45 60 What is the marginal revenue product of the 60th unit of labor, assuming this market is perfectly competitive in both the factor and output markets? (3 points) 0 105 190 265 325