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A produces three products with the following costs and selling prices: The company has a limit of 14, 600 machine hours available per month. The
A produces three products with the following costs and selling prices: The company has a limit of 14, 600 machine hours available per month. The company has a monthly fixed cost of $30,000. The demand for each of the products is 2, 500 units per month. The company's goal to maximize its profitability. Suppose the company can rent a machine that will provide an additional 1,000 machine hours per month. What maximum monthly rent the company would be willing to pay for this machine? a. $2, 400 b. $4, 200 c. $2,000 d. $2, 800 e. $1, 200
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