Problem
A team of five laborers working in a garment factory in Indonesia divides the task of making men's dress shirts for export to the United States. Each laborer works 10 hours a day, six days a week, and is paid the Indonesian minimum wage of $2.50 per day. In one week, the team can make 500 shirts. The company spends $10,000 each week to cover advertising, administration, machinery, transportation, and other expenses. Each shirt sold for $40 in the United States.
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Total Labor Cost
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Labor Cost Per Shirt
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Total Revenue
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Fixed Costs
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Total Profit
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Profit Per Shirt
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$10,000
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How much would it cost to pay five workers at the U.S. federal minimum wage to do the same job in the same amount of time?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.