Question
TECHNIQUE T1 T2 T3 T4 RESOURCE PRICE LAND 10 10 10 10 $7 LABOR 26 21 CAPITAL 7 9 10 $3 COST OF TECHNIQUE $241
| TECHNIQUE | T1 | T2 | T3 | T4 | RESOURCE PRICE |
| LAND | 10 | 10 | 10 | 10 | $7 |
| LABOR |
| 26 | 21 |
| |
| CAPITAL | 7 | 9 | 10 | $3 | |
| COST OF TECHNIQUE | $241 |
|
| $214 |
|
| REVENUE |
| $300 |
| ||
| PROFIT |
| $73 | $90 |
|
|
Please answer the next 8 questions based on the information provided in the table above for a profit-maximizing firm. This firm can use any one of the four techniques to produce 30 units of output.
This price of a unit of output is equal to_____.
The amount of labor in T1 is equal to ______.
The cost of T2 is equal to ______.
The cost of T3 is equal to ______.
The amount of capital in T4 is equal to ______.
This firm will earn a profit of _____.
If the price of capital decreases to $1, ceteris paribus, this firm will earn a profit of _____.
If the market price of output changes to $9 per unit, ceteris paribus, then this firm will earn a profit of _____.
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Auditing Excellence Principles And Practices In Accounting Ensuring Accuracy Transparency And Compliance In Financial Reporting
Authors: Ryan Flores
1st Edition
B0C6448LC8, 979-8395841360
