Kelly is an architect, and she is trying to decide whether to hire Mike, a draftsman, to assist with her work. Kelly could hire Mike at $20 per hour, but it would take him three times as long to complete a task as it takes Kelly. Kelly is able to earn S90 per hour and has more architectural jobs than she is able to handle. Which of the following is true?

a. Kelly should not hire Mike because it would be faster for her to do the work herself.

b. Kelly should do the drafting work herself because she has the lower opportunity cost

c. Mike should be hired at the $20 per hour wage rate.

d. Mike should be hired, but only if he is paid more than S30 per hour.

e. Kelly should hire someone who earns minimum wage instead of Mike.

Question

Ozzie

Business

20 April, 01:10

Kelly is an architect, and she is trying to decide whether to hire Mike, a draftsman, to assist with her work. Kelly could hire Mike at $20 per hour, but it would take him three times as long to complete a task as it takes Kelly. Kelly is able to earn S90 per hour and has more architectural jobs than she is able to handle. Which of the following is true?

a. Kelly should not hire Mike because it would be faster for her to do the work herself.

b. Kelly should do the drafting work herself because she has the lower opportunity cost

c. Mike should be hired at the $20 per hour wage rate.

d. Mike should be hired, but only if he is paid more than S30 per hour.

e. Kelly should hire someone who earns minimum wage instead of Mike.

+2

Answers (1)

Know the Answer?

Karter Harvey · Answer 1

The correct option is C

Explanation:

Kelly is the person who is an architect and in her work she wants to a person who could assist her, so she is trying to hire a person named Mike, who will assist her in her work, but the Mike pay price is $20 per hour. Though it take 3 times to complete the task and she could earn $90 per hour.

Therefore, the correct step and the statement which is true is that the she should hire Mike at the rate of $20 per hour wage rate.