a. Suppose the inputs in Problem 3 can be purchased at the same price per unit. Will
Question:
b. Suppose input prices are PL = 40 and PK = 80 and the price of output is 10. Determine the optimal quantity of each input.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 73% (19 reviews)
a The marginal products for labor and capital are given by MP L 10 L and MP ...View the full answer
Answered By
OTIENO OBADO
I have a vast experience in teaching, mentoring and tutoring. I handle student concerns diligently and my academic background is undeniably aesthetic
4.30+
3+ Reviews
10+ Question Solved
Related Book For
Managerial economics
ISBN: 978-1118041581
7th edition
Authors: william f. samuelson stephen g. marks
Question Posted:
Students also viewed these Economics questions
-
Suppose there are two inputs in the production function, labor and capital, and these two inputs are perfect substitutes. The existing technology permits 1 machine to do the work of 3 workers. The...
-
Prepare the following for April: 1. Revenues budget 2. Production budget in units 3. Direct material usage budget and direct material purchases budget 4. Direct manufacturing labor cost budget 5....
-
Suppose a monopolist can purchase Labor at a price w = 1 and can purchase Capital at a price r = 9. The monopolists production function is given by Q = L1/2K1/2. The demand facing the monopolist is...
-
In Exercises determine whether Rolle's Theorem can be applied to on the closed interval [a, b]. If Rolle's Theorem can be applied, find all values of c in the open interval (a, b) such that '(c) =...
-
When transgenic organisms are made, the transgene may integrate into multiple sites within the genome. Furthermore, the integration site may influence the expression of the gene. For example, if a...
-
On December 31, 2017, Beautiful Brows Salon received the business cell phone bill for December (Dec. 1 to Dec. 31) usage of $2,000. It must be paid by January 15, 2018. a) To prepare the 2017 annual...
-
Why does a use case need a unique, numeric identifier?
-
Members of the board of directors of Security Systems have received the following operating income data for the year ended March 31, 2016: Members of the board are surprised that the industrial...
-
Acorn bLtd. has earnings per share of $3. It has 10 million shares outstanding and is trading at $35 per share. Acorn is considering buying a target company named Tofu Inc.. Tofu has earnings per...
-
1. 2. 3. 4. Date 9/02/23 9/02/23 Deposit #1 9/03/23 Deposit No. /Check No. 9/03/23 Ck #1001 Ck #1002 Description Bella Boone met with her lawyer and CPA for advice on starting the business. They...
-
Consider the production function Q = 10L -.5L2 + 24K - K2 for L and K in the range 0 to 10 units. Does this production function exhibit diminishing returns to each input? Does it exhibit decreasing...
-
Explain the difference between diminishing returns and decreasing returns to scale.
-
Jamoka Corporation is a public company that manufactures farm implements such as tractors, combines, and wagons. Jamoka uses the revaluation model per IAS 16, and records asset revaluations using the...
-
An air-water vapor mixture flows upward through a vertical copper tube \(25.4-\mathrm{mm}\) OD, \(1.65-\mathrm{mm}\) wall thickness, which is surrounded by flowing cold water. As a result, water...
-
Average Salary by Education Level Is the increase in pay worth the time, effort, and money spent earning your college degree? The answer is yes! Median weekly earnings without a high school diploma...
-
Near Earth's surface, the electric field has a magnitude of \(150 \mathrm{~N} / \mathrm{C}\) and points downward. Treating Earth's surface as a conducting sphere, calculate the surface charge density...
-
You are a crewmember on a space station orbiting Earth. To investigate some physics you remember from college, you drill a small hole all the way through a large solid nonconducting sphere of radius...
-
Shula Perot is the new controller for EduTechno Software, which develops and sells educational software. Shortly before the December 31 fiscal year-end, Nico Cattrall, the company president, asks...
-
Which of the following best describes internal failure costs? a. The economic costs associated with a catastrophic failure of an internal subsystem b. The unavoidable quality system costs associated...
-
Write a paper about how diet relates to breast cancer in women study design to use: case control study purpose & rationale the purpose of this final project is to utilize the methods and...
-
How does expected utility differ from expected values? Why does this difference matter for policy?
-
You are the manager of a monopoly, and your demand and cost functions are given by P = 200 2Q and C(Q) = 2,000 + 3Q2, respectively. a. What pricequantity combination maximizes your firms profits? b....
-
You are the manager of a firm that produces a product according to the cost function C(qi) = 100 + 50qi 4qi2 + qi3. Determine the short-run supply function if: a. You operate a perfectly competitive...
-
The accompanying diagram shows the demand, marginal revenue, and marginal cost of a monopolist.a. Determine the profit-maximizing output and price.b. What price and output would prevail if this...
-
(a) Given that z =2+23i and z =-5+5i. Express, and in polar form. (b) Find z and in exponential form. (c) Find (5)*() in the forms of x+yi.
-
Evaluate the impact of mobile banking on traditional revenue streams and business models of banks, such as transaction fees, interchange fees, and overdraft charges. How do banks monetize mobile...
-
1. Researchers wanted to see how two new varieties of fish food compare to a commonly used food. They took 180 similar fish and assigned them randomly to three different tanks. The fish in tank 1...
Study smarter with the SolutionInn App