Jon and Sally are married. Sally works Jon stays home. Jon has an opportunity to gain employment. He would be working for $10 per hour 30 hours a week. Day care for their two
children will cost $7 dollars an hour. Jon must drive 15 miles to and from work. It will cost him
$4.25 a day for gas to drive to work.
For the scenario complete the following:
Describe the Marginal Cost:
Describe the Marginal Benefits:
In your opinion should Jon take the Job?

You are a newspaper publisher. you are in the middle of a one-year rental contract for your factory that requires you to pay $500,000 per month, and you have contractual labor obligations of $1 million per month that you can't get out of. you also have a marginal printing cost of $.25 per paper as well as a marginal delivery cost of $.10 per paper. if sales fall by 20 percent from 1 million papers per month to 800,000 papers per month, what happens to the afc per paper?