A moving company estimates that given their present mix of large and small truck

Question

A moving company estimates that given their present mix of large and small trucks, the marginal productivity of their large trucks is 6 tons per day and that the marginal productivity of their small trucks is 4 tons per day. The cost of a work crew necessary to run the large truck is $200 per day and the cost of the work crew necessary to run the small truck is $100 per day. This company should a. use more of both the large and the small trucks. b. use more large trucks and fewer small trucks. c. make no changes to the amount of small and large trucks they have. d. use more small trucks an fewer large trucks.

Explanation / Answer

b. use more large trucks and fewer small trucks

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