Imagine you have some workers and some handheld computers that you can use to take inventory at a warehouse. There are diminishing returns to taking inventory. If one worker uses one computer, he can inventory 100 items per hour. Two workers sharing a computer can together inventory 150 items per hour. Three workers sharing a computer can together inventory 200 items per hour. And four or more workers sharing a computer can together inventory fewer than 210 items per hour. Computers cost $100 each and you must pay each worker $25 per hour. Instructions: Round your answers to 2 decimal places. a. If you assign one worker per computer, what is the cost of inventorying a single item? b. What if you assign two workers per computer? What is the cost of inventorying a. single item? c. What if you assign three workers per computer?

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
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Imagine you have some workers and some handheld computers that you can use to take inventory at a warehouse. There are
diminishing returns to taking inventory. If one worker uses one computer, he can inventory 100 Items per hour. Two workers sharing a
computer can together inventory 150 items per hour. Three workers sharing a computer can together inventory 200 items per hour.
And four or more workers sharing a computer can together inventory fewer than 210 items per hour. Computers cost $100 each and
you must pay each worker $25 per hour.
Instructions: Round your answers to 2 decimal places.
a. If you assign one worker per computer, what is the cost of inventorying a single item?
b. What if you assign two workers per computer? What is the cost of inventorying a single item?
c. What if you assign three workers per computer?
MacBook Air
Transcribed Image Text:Imagine you have some workers and some handheld computers that you can use to take inventory at a warehouse. There are diminishing returns to taking inventory. If one worker uses one computer, he can inventory 100 Items per hour. Two workers sharing a computer can together inventory 150 items per hour. Three workers sharing a computer can together inventory 200 items per hour. And four or more workers sharing a computer can together inventory fewer than 210 items per hour. Computers cost $100 each and you must pay each worker $25 per hour. Instructions: Round your answers to 2 decimal places. a. If you assign one worker per computer, what is the cost of inventorying a single item? b. What if you assign two workers per computer? What is the cost of inventorying a single item? c. What if you assign three workers per computer? MacBook Air
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