Consider a Small Firm That Is Producing Winter Jackets

Multiple Choice

Consider a small firm that is producing winter jackets.It can lease an additional sewing machine for one month for $2400.With this additional machine,the firm can produce an additional 4 jackets during that time period that it sells for $550 each.Hiring the marginal machine adds ________ to the firm's profit and so it should ________ the machine.

A) -$2400; not lease
B) -$200; not lease
C) $0; be indifferent as to whether to lease
D) $200; lease
E) $2400; lease