Which answer below CORRECTLY describes the relationship between the demand for labor curve and the value of marginal product curve?

How does elasticity affect a company's pricing policy?

(A) If demand is unitary elastic, the company knows that a decrease in price would decrease total revenues. (B) If demand is unitary elastic, the company knows that an increase in price would increase total revenues. (C) If demand is elastic at the current price, the company knows that an increase in price would reduce total revenues. (D) If demand is inelastic at the current price, the company knows that an increase in price would reduce total revenues.

Refer to Figure 10-8. Given the budget constraint in the diagram, which of the following statements is false?

A) Consumption bundles b and c yield the same level of utility, which is higher than the utility represented by bundle a. B) The consumer's optimal bundle could be bundle d, e, or f. C) Although the consumer receives the same level of utility from bundles d and e, she cannot afford to purchase bundle d. D) The consumer receives the same level of utility from consumption bundles d, e, and f.