There are economies of scale in ranching, especially with regard to fencing land. Suppose that barbed-wire fencing costs $20,000 per mile to set up. Instructions: Enter your answers as whole numbers. a. How much would it cost to fence a single property whose area is one square mile if that property also happens to be perfectly square, with sides that are each one mile long

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Answer:

It will cost $80,000 to fence that area.

Explanation:

Barbed-wire fencing costs $20,000 per mile to set up.

The property that is to be fenced is a perfect square with sides that are one square mile each.

The perimeter of the property

= [tex]Side\ \times\ 4[/tex]

= [tex]1\ square\ mile\ \times\ 4[/tex]

= 4 square miles

The cost of fencing

= [tex]Length\ \times\ Cost[/tex]

= [tex]4\ \times\ \$ 20,000[/tex]

= $80,000