A manufacturing company is deciding between investing in new machinery or hiring additional workers to increase production. How can isocost lines assist in this decision?

• A. By determining the maximum number of workers the company can hire.
• B. By calculating the total cost of production.
• C. By illustrating the cost trade-offs between machinery and labor, helping the company choose the most cost-effective option.
• D. By identifying the production level that maximizes revenue.

Answer: (C)