FIGURE 13- 4 The three diagrams below each show a supply curve for oil tankers over a relatively short period of time.

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

Question

FIGURE 13- 4 The three diagrams below each show a supply curve for oil tankers over a relatively short period of time.
 
-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)$0; be indifferent as to whether to lease 
B)$2400; lease 
C)- $200; not lease 
D)$200; lease 
E)- $2400; not lease

Quizplus · Accepted Answer

The Answer of FIGURE 13- 4 The three diagrams below each show a supply curve for oil tankers over a relatively short period of time.
 
-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)$0; be indifferent as to whether to lease 
B)$2400; lease 
C)- $200; not lease 
D)$200; lease 
E)- $2400; not lease

FIGURE 13- 4 the Three Diagrams Below Each Show a Supply