Question: Use the production matrix presented to answer the following questions. a. Determine the returns to scale for this matrix. (Start with one unit of X

Use the production matrix presented to answer the following questions.

a. Determine the returns to scale for this matrix. (Start with one unit of X and one unit of Y.)
b. Suppose the firm has a budget of $100, and the price of F is $20 and the price of X is $10. What is the optimal combination of inputs X and Y for this firm?
c. Suppose the prices of F and X are now $10 and $20, respectively. What effect will this have on the firm's optimal input combination?
d. Illustrate the answers to the preceding questions with the use of an isoquant/isocost diagram.

Y 8 67 101 133 161 184202 213 7 30 6293 22 147 18 8 193 6 27 54 82 108 130 9 163 523 45699 108 126 137 42 17 34 54 72 890 108 11 3 12 25 38 54 65747979 6 1 24 3354743 7 24589129 17 2719 16

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