Use the Following Graph to Answer the Following Questions

question 4

Essay

Use the following graph to answer the following questions. a.If the wage rate and the rental price of machines are both $50 and total cost is $800,is the cost-minimizing point A,B,or C?
b.If the wage rate is $40,the rental price of equipment is $120,and total cost is $1,200,is the cost-minimizing point A,B,or C?
c.If the wage rate is $60,the rental price of equipment is $90,and total cost is $1,800,is the cost-minimizing point A,B,or C?

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Definitions:

Defensive Strategy

A defensive strategy in investing involves choosing stocks or assets that are less susceptible to economic downturns or market fluctuations, often focusing on necessity goods or services.

Stock-Index Futures

Futures contracts based on stock indices, which allow investors to speculate on the future value of an index.

Sell

The action of transferring ownership of a security or asset to a buyer for an agreed price.

Long Position

The purchase of a security such as a stock or commodity with the expectation that the asset will increase in value.