You are managing one particular location of a well-known franchise business. Corporate has granted you $100,000 in new budget to spend on hiring new labor to expand the business. If you have a fixed amount of capital K = 300 and if rental rate per unit of capital is r = $50, and if local wages are equal to w = $30, how many units of labor can you hire? a. 1,820 units of labor b. 3,833 units of labor c. 2,833 units of labor d. none of the above

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Total Budget B 100000 Fixed capital cost is calculated by mult... View the full answer