Question: John Wilson, the owner of a fast-food restaurant, estimated that he can sell 1,000 additional hamburgers per day by renting more automated equipment at a cost of $ 100 per day. Alternatively, he estimated that he could sell an extra 1,200 hamburgers per day keeping the restaurant open for two more hours per day at a cost of $50 per hour. Which of these two alternative ways of increasing output should Mr. Wilson use?
Question: John Wilson, the owner of a fast-food restaurant, estimated that he can sell 1,000 additional hamburgers per day by renting more automated equipment at a cost of $ 100 per day. Alternatively, he estimated that he could sell an extra 1,200 hamburgers per day keeping the restaurant open for two more hours per day at a cost of $50 per hour. Which of these two alternative ways of increasing output should Mr. Wilson use?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Question:
John Wilson, the owner of a fast-food restaurant, estimated
that he can sell 1,000 additional hamburgers per day by
renting more automated equipment at a cost of $ 100 per day.
Alternatively, he estimated that he could sell an extra 1,200
hamburgers per day keeping the restaurant open for two
more hours per day at a cost of $50 per hour. Which of these
two alternative ways of increasing output should Mr. Wilson
use?
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