Question: Class Exercise 4.2. Considering Program Expansion with Marginal Analysis The state government has contacted HFA for an additional ten new trainee spots, which would expand

 Class Exercise 4.2. Considering Program Expansion with Marginal Analysis The state

Class Exercise 4.2. Considering Program Expansion with Marginal Analysis The state government has contacted HFA for an additional ten new trainee spots, which would expand the current career training program to a total of sixty trainees. The average cost of the program is approximately $6,000 per trainee at the current level of service; however, the state is willing to pay $3,000 each for the ten extra spots, keeping the reimbursement rate for the fifty existing seats unchanged. The facility has the capacity for one hundred students and the number of existing teachers can handle sixty students. Should the HFA accept this offer from the state

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