Use the Following to Answer Questions $\text {Table: Lindsay's Farm}$

question 185

Multiple Choice

Use the following to answer questions : $\text {Table: Lindsay's Farm}$
$\text {The table provides information about the production}$
$\text { function for Lindsay's Farm, which uses labour and land}$
$\text { to produce its produce. The price of labour is \(\$ 50\) per}$
$\text {worker per week and the price of land is \(\$ 20\) per hectare.}$
$\begin{array}{lcc}\begin{array}{l}\text { Quantity } \\\text { of Land } \\\text { (hectares) }\end{array} & \begin{array}{c}\text { Quantity } \\\text { of Labour } \\\text { (workers) }\end{array} & \begin{array}{c}\text { Quantity } \\\text { of Produce } \\\text { (bushels) }\end{array} \\\hline 10 & 0 & 0 \\10 & 1 & 50 \\10 & 2 & 100 \\10 & 3 & 140 \\10 & 4 & 170 \\10 & 5 & 190\end{array}$
-(Table: Lindsay's Farm) Use Table: Lindsay's Farm.When Lindsay produces 140 units of produce,her total cost is:

• A) $200.
• B) $150.
• C) $350.
• D) $500.

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Definitions:

Net Present Value

The present value of cash flows minus the present value of cash outlays, used in capital budgeting to assess the profitability of an investment or project.

Discount Rate

Rate used to determine the value today of a dollar received in the future.

Capital Costs

The fixed, one-time expenses incurred on the purchase of land, buildings, construction, and equipment used in the production of goods or services.

Automated Warehouse

A facility where the movement of goods and storage operations are carried out by robotic systems and automated machinery, reducing the need for manual labor.