Suppose physical capital per worker increased to $60,000 between 1990 and 2000 and output per worker increased by $45,000 over t
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Answer:
d. $990,000
Explanation:
The multiplier method assumes that the total external failure cost is a multiple of the measured external failure costs. In this case, based on experience, the company determined that the measured value must be multiplied by a factor of 3:
Therefore, Azure Company's total external failure cost is $990,000