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15. Remember that Jamie has to pay her workers $20 per hour, and there are no other production costs. Using the data to the right we know that the approximate marginal cost of the 52nd unit of output is:
Marginal Cost is the change in cost due to an increase in output of one unit. When the firm hires a 6th worker output increases from 47 to 52 so in order to compute the Marginal Cost of the 52nd unit we need to divide the change in cost ($20, the cost of hiring another worker) by the change in output (5, the increment between 47 and 52). In this case this is the same thing as Wage ÷ MP. So, Marginal Cost = 20 ÷ 5 = 4.
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| Workers | Q | MC |
| 1 | 10 | 2.00 |
| 2 | 22 | 1.82 |
| 3 | 31 | 2.22 |
| 4 | 40 | 2.22 |
| 5 | 47 | 2.86 |
| 6 | 52 | 4.00 |
| 7 | 56 | 5.00 |
| 8 | 58 | 10.00 |
| 9 | 60 | 10.00 |
| 10 | 61 | 20.00 |
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