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    Exam 7: Appendix: a Closer Look at Production and Cost
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    Upon Opening a Printing and Copy Shop, a Firm Budgets
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Upon Opening a Printing and Copy Shop, a Firm Budgets

Question 11

Question 11

Multiple Choice

Upon opening a printing and copy shop, a firm budgets $40,000 for copy machines and labor. If the price of labor is $4 per hour and the firm can afford to operate its copy machine for 2,000 hours if no labor is hired, how many additional hours of labor could the firm hire if it gave up one hour of copy machine time?


A) 5/8
B) 2
C) 1/5
D) 5
E) 1/4

Correct Answer:

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