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Skidmore Skid Loader operates a warehouse operation. He currently uses 1 2 0 , 0 0 0 sq ft of warehouse space to move 4
Skidmore Skid Loader operates a warehouse operation. He currently uses sq ft of warehouse space to move pallets of goods per month. If he can rent another sq ft of warehouse space he thinks he can move additional pallets per month.The net revenue is $pallet selling price minus COGS minus labor, etc. but not including rent for the warehouse space Skid can rent additional warehouse space for $sq ft per month. Is Skid going to be using his warehouse space sq ft more efficiently or less efficiently if he rents the additional space? Explain with some economic terms
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