You run a small bakery that makes about 1,000 muffins per day. You get offered a large contract that needs you to make 3000 to 4000 muffins a day.

You know the bank will lend you the money to buy the ingredients and that is not a problem.

Should you accept the contract? What things do you need to consider? In the discussion give one or two points of what a company considering this offer must think about in the short run... be sure to use ideas from this week's economic lesson.