Kelly is an attorney and also an excellent typist. She can type 120 words per minute, but

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Kelly is an attorney and also an excellent typist. She can type 120 words per minute, but she is pressed for time because she has all the legal work she can handle at $75.00 per hour. Kelly’s friend Todd works as a waiter and would like some typing work (provided that he can make at least his wage as a waiter, which is $25.00 per hour). Todd can type only 60 words per minute.

a. Kelly should do all the typing because she is faster.

b. Todd should do the typing, as long as his earnings are more than $25.00 and less than $37.50 per hour.

c. Unless Todd can match Kelly’s typing speed, he should remain a waiter.

d. Todd should do the typing, and Kelly should pay him $20.00 per hour.

e. Both Kelly should do all the typing because she is faster and unless Todd can match Kelly’s typing speed, he should remain a waiter are correct.

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Exploring Economics

ISBN: 9781544336329

8th Edition

Authors: Robert L. Sexton

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