A Manager in Charge of New Product Development Can Hire

question 82

Multiple Choice

A manager in charge of new product development can hire engineers and market researchers.The annual salary of an engineer is $30,000 and that of a market researcher is $20,000.The marginal contribution of engineers and market researchers are Given the above information,if the manager has an annual budget of $120,000,how should this budget be allocated in order to maximize the number of new products developed?

• A)Hire two engineers and one market researcher.
• B)Hire two engineers and three market researchers.
• C)Hire three engineers and two market researchers.
• D)Hire three engineers and four market researchers.

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Definitions:

Inheritance

Assets received from someone who has died, possibly subject to taxes depending on the value and the beneficiary's relationship to the deceased.

Holding Period

The length of time an investment is held by an investor, influencing tax treatment of gains or losses upon disposal.

Adjusted Basis

The net cost of an asset after adjusting for various tax-related items including improvements, sales, depreciation, and damage.

Assumes Liability

The act of taking on legal responsibility or debt from another party, often occurring in business acquisitions or financial agreements.