Twentyfirst Century Electronics has discovered a theft problem at its
Twentyfirst Century Electronics has discovered a theft problem at its warehouse and has decided to hire security guards. The firm wants to hire the optimal number of security guards. The following table shows how the number of security guards affects the number of radios stolen per week.
Number of Number of radios
security guards stolen per week
0 ................ 50
1 ................ 30
2 ................ 20
3 ................ 14
4 ................ 8
5 ................ 6
a. If each security guard is paid $200 a week and the cost of a stolen radio is $25, how many security guards should the firm hire?
b. If the cost of a stolen radio is $25, what is the most the firm would be willing to pay to hire the first security guard?
c. If each security guard is paid $200 a week and the cost of a stolen radio is $50, how many security guards should the firm hire?

Membership TRY NOW
  • Access to 800,000+ Textbook Solutions
  • Ask any question from 24/7 available
    Tutors
  • Live Video Consultation with Tutors
  • 50,000+ Answers by Tutors
OR
Relevant Tutors available to help