Steve collects old synthesizers. One he bought a few years back for $3000 he's decided to sell. Over the time he owned it, Steve did $250 in repairs and renovations. In preparing to sell the synthesizer, he's told by a source he considers 100% reliable that he could sell it for $3250 as it currently is. If, however, he is willing to pay $400 for some additional cosmetic repairs, he's told he could definitely get $3800 instead. In this case, the marginal benefit of doing the repairs before selling is $ (Carefully follow all numeric instructions. We'll work with this information again in the next question.)
Steve collects old synthesizers. One he bought a few years back for $3000 he's decided to sell. Over the time he owned it, Steve did $250 in repairs and renovations. In preparing to sell the synthesizer, he's told by a source he considers 100% reliable that he could sell it for $3250 as it currently is. If, however, he is willing to pay $400 for some additional cosmetic repairs, he's told he could definitely get $3800 instead. In this case, the marginal benefit of doing the repairs before selling is $ (Carefully follow all numeric instructions. We'll work with this information again in the next question.)
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Transcribed Image Text:Steve collects old synthesizers. One he bought a few years back for $3000 he's decided to sell.
Over the time he owned it, Steve did $250 in repairs and renovations.
In preparing to sell the synthesizer, he's told by a source he considers 100% reliable that he could
sell it for $3250 as it currently is. If, however, he is willing to pay $400 for some additional
cosmetic repairs, he's told he could definitely get $3800 instead.
In this case, the marginal benefit of doing the repairs before selling is $
(Carefully follow all numeric instructions. We'll work with this information again in the next question.)
MacBook Air
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