A dry cleaner currently has 10 workers and 4 machines. The workers' wage rate is $300 per worker and the rental rate for a machine is $500. The last worker added 600 units to total output and the last machine also added 600 units to total output. If the dry cleaner uses 11 workers and 3 machines instead, then

Question

Answer

cost will be unchanged and output will increase by 300 units.

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cost will be unchanged and output will decrease by 200 units.

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output will be unchanged and cost will decrease by $500.

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output will be unchanged and cost will decrease by $200.

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none of the above

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A dry cleaner currently has 10 workers and 4 machines. The workers' wage rate is...

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