Two garments factories produce output according to the same production function q=k4 where qis output, kis...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Two garments factories produce output according to the same production function q=k4 where qis output, kis capital and lis labour. However, Factory 1 uses more labour than Factory 2 so that = 1600 and 1=1000. The total amount of capital (i.e. the number of machines) available is 200. Find (a) The outputs of each of the two factories in terms of capital. (b)The outputs of each of the two factories if the available capital is divided equally between them. (c) The outputs of each of the two factories if the available capital is divided efficiently between them. Two garments factories produce output according to the same production function q=k4 where qis output, kis capital and lis labour. However, Factory 1 uses more labour than Factory 2 so that = 1600 and 1=1000. The total amount of capital (i.e. the number of machines) available is 200. Find (a) The outputs of each of the two factories in terms of capital. (b)The outputs of each of the two factories if the available capital is divided equally between them. (c) The outputs of each of the two factories if the available capital is divided efficiently between them.
Expert Answer:
Related Book For
Posted Date:
Students also viewed these finance questions
-
A Verilog testbench code is necessary to test the functionality of the design. Select one: O True O False
-
Question 5 Mutually Exclusive events Not yet answered Select one: Marked out of a. Does not contain any common sample point 1.00 P Flag question O b. Contain all sample points O c. Contain all common...
-
Describe a procedure for solving a first-degree inequality.
-
Identify the reasons why managers should evaluate the flexibility of a tax planning strategy before implementing the strategy.
-
Largo Company has unit costs of $10 for materials and $30 for conversion costs. If there are 2,500 units in ending work in process, 40% complete as to conversion costs, and fully complete as to...
-
A company has the following current assets: Cash, $10,000; Accounts Receivable, $70,000; and Inventory, $20,000. The company also has current liabilities of $40,000. Calculate the companys current...
-
The Pelican Partnership was formed on August 1 of the current year and admitted Morlan and Merriman as equal partners on that date. The partners both con tributed $300,000 of cash to establish a...
-
In 1750, Gabriel Cramer discovered a simple formula for the solutions of a linear system involving the notion of a determinant. Cramer's rule, applied to the system 3x + y = 2 5x + 2y = 7 2 1 3 2 7 2...
-
Brothers Herm and Steve Hargenrater began operations of their tool and die shop (H & H Tool) on January 1, 1987, in Meadville, PA. The annual reporting period ends December 31. Assume that the trial...
-
emaining Time: 1 hour, 06 minutes. 19 seconds. vestion Completion Status: 7 WORDS POWERED BY TINY QUESTION 8 sume General Motors (GM) has a market value of $6 billion of equity and a market value of...
-
Pinnacle Plus declared and paid a cash dividend of $ 6 , 6 0 0 in the current year. Its comparative financial statements, prepared at December 3 1 , reported the following summarized information:...
-
Diego Company manufactures one product that is sold for $75 per unit in two geographic regionsthe East and West regions. The following information pertains to the company's first year of operations...
-
Explain the difference between depreciation and the facilities capital cost of money. Specify the key advantages of having facilities capital cost of money as an allowable cost. Compare and contrast...
-
The possible number of correct responses, i.e. the values of grade variable, are all integers from 0 to 30 The expected value of grade is The variance of grade is Note: Use your judgment for rounding.
-
In which model of supervision is the supervisor recognized as a "guide" who provides an intensive level of modeling, mediating, support, and encouragement?
-
2 Exercise 1 1 - 6 A ( Algo ) Recording overhead costs in T - accounts LO 1 1 - 2 3 . 7 5 points \ table [ [ eBook ] , [ Print ] ] Munoz Company and Perez Company both apply overhead to the Work in...
-
Complete the equations for the following equilibria and calculate Keq where the Keq expression includes [HO]. Be sure to enter Keq in proper scientific notation. (a) ammonia (acting as a base) reacts...
-
The given vectors form a basis for R 2 or R 3 . Apply the Gram-Schmidt Process to obtain an orthogonal basis. Then normalize this basis to obtain an orthonormal basis. 0 X1 |, X2 2
-
Find the outer product form of the SVD for the matrix in the given exercises. Exercise 7 and 17 Data From Exercise 7 and 17 -2 0
-
Determine which of the matrices are exchange matrices. For those that are exchange matrices, find a non-negative price vector that satisfies equation (1). 0.1 0.6 0.4 0.9
-
Continuation of S10-5: cash budget (Learning Objective 3) Refer to S10-5. Grippers has $8,300 cash on hand on January 1. The company requires a minimum cash balance of $7,500. January cash...
-
Revise cash payments for purchases (Learning Objective 4) Refer to the original Whitewater Sporting Goods Data Set item 5. Suppose Whitewater Sporting Goods pays for 60% of inventory purchases in the...
-
Revise cash collections budget (Learning Objective 4) Turn to the original Whitewater Sporting Goods Data Set item 4. Suppose 70% of sales are cash and 30% are credit. Revise Whitewater's sales...
Study smarter with the SolutionInn App