Question

Santa Claus's only variable input is labor. The wage he must pay is 200 candy canes per week. What is Santa's total weekly variable cost if he hires 200 elves?

Answer 1

The total weekly variable cost for Santa Claus if he hires 200 elves is 40,000 candy canes.

Step-by-step explanation:

The total weekly variable cost for Santa Claus if he hires 200 elves can be calculated by multiplying the wage per elf by the number of elves hired. In this case, the wage per elf is 200 candy canes per week, and the number of elves hired is 200. Therefore, the total weekly variable cost is 200 candy canes per elf * 200 elves = 40,000 candy canes.