(a) Filatoi Riuniti should obviously consider increasing its spinning ma- chine capacity. They could slightly expand the production capac- ity of the existing machines by renting an upgrade. This would in- crease their spinning production capacity by 600 hours/ month. The monthly rental cost is $1,500/ month. Would you recommend that they rent the upgrade? (A) Yes, they should rent the upgrade (B) No, they should not rent the upgrade Alternatively, Filatoi Riuniti could increase its spinning machine ca- pacity by renting another spinning machine for the production of only medium size yarn, for a monthly rental cost of $3,000. The ma chine has a production capacity of 300 hours per month (the machine would run at the same rate of 0.425 hours / Kg). Suppose that the es- timated production cost of running this machine is less than that for Filatoi Riuniti's existing machines and is estimated to be $5.70/Kg (as opposed to $11.40/ Kg for their existing machines). Would you recommend that Filatoi Riuniti rent the machine? (A) Yes, they should rent the machine. (B) No, they should not rent the machine