Answer :
Final answer:
Explanation of MRP and MFC curves in bakery economics and determination of the number of bakers to employ.
Explanation:
Marginal Revenue Product (MRP) Curve:
The MRP curve depicts the additional revenue generated by each additional unit of input, in this case, bakers. It slopes downward due to diminishing returns.
Marginal Factor Cost (MFC) Curve:
The MFC curve illustrates the additional cost incurred by hiring each additional unit of input. It typically slopes upward.
Number of Bakers Employed:
Ms. Álvarez will employ bakers where MRP equals MFC to maximize profit.
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