Table 13-6 Adrian's Premium Chocolates Produces Boxes of Chocolates for Its Mail

question 173

Multiple Choice

Table 13-6
Adrian's Premium Chocolates produces boxes of chocolates for its mail order catalogue business. She rents a small room for $150 a week in the downtown business district that serves as her factory. She can hire workers for $275 a week. There are no implicit costs.

-Refer to Table 13-6.Adrian has received an order for 3,000 boxes of chocolates for next week.If she expects that the trend in the marginal product of labor will continue in the same direction,it is most likely that her best decision will be to

• A)not commit to meeting the order until she can move to a larger room and hire more workers to box the chocolates.
• B)close her business until she is able to hire more productive workers.
• C)hire about 12 new workers and hope she can satisfy the order.
• D)commit to meeting the order and then take three weeks to complete the job.

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