A manufacturing firm has received a contract to assemble 1000 units of test equipment in the next year. The firm must decide how to organize its assembly operation. Skilled workers, at $33 per hour each, can individually assemble the test equipment in 2.6 hours per unit. Alternatively, teams of four less skilled workers (at $19 per hour each) can assem-
A manufacturing firm has received a contract to assemble 1000 units of test equipment in the next year. The firm must decide how to organize its assembly operation. Skilled workers, at $33 per hour each, can individually assemble the test equipment in 2.6 hours per unit. Alternatively, teams of four less skilled workers (at $19 per hour each) can assem-
Chapter1: Making Economics Decisions
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![A manufacturing firm has received a contract to
assemble 1000 units of test equipment in the next
year. The firm must decide how to organize its
assembly operation. Skilled workers, at $33 per hour
each, can individually assemble the test equipment in
2.6 hours per unit. Alternatively, teams of four less
skilled workers (at $19 per hour each) can assem-
ble a unit in one hour. Which approach is more
economical?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F60168ced-2fd9-4caf-930b-8672560f12a4%2F2f97333b-f2ed-4db3-b394-23effc971164%2Fp7w3trh_processed.jpeg&w=3840&q=75)
Transcribed Image Text:A manufacturing firm has received a contract to
assemble 1000 units of test equipment in the next
year. The firm must decide how to organize its
assembly operation. Skilled workers, at $33 per hour
each, can individually assemble the test equipment in
2.6 hours per unit. Alternatively, teams of four less
skilled workers (at $19 per hour each) can assem-
ble a unit in one hour. Which approach is more
economical?
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