Question

"The amount of product a firm can produce in one week as a function of its...

"The amount of product a firm can produce in one week as a function of its capital investment K and its labor L and is given by x = ?(KL) where x is the number of units the firm produces in one week, K is the number of machines, and L is the number of man-hours per week. Assume that K is fixed at 11 machines. The only expenses are the cost to operate the machines and wages for the labor. The operating cost per machine is $660 per week and the hourly wage is $48. Assume the firm can sell everything that it produces at a per-unit price of $599. How much should the firm produce in one week if it wants to maximize its profit? The answer does not have to be an integer."

Business   Economics   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
"The amount of product a firm can produce in one week as a function of its...
"The amount of product a firm can produce in one week as a function of its capital investment K and its labor L and is given by x = √(KL) where x is the number of units the firm produces in one week, K is the number of machines, and L is the number of man-hours per week. Assume that K is fixed at 7 machines. The only expenses are the cost to operate the machines and wages for the...
A firm produces an output with the production function Q = KL, where Q is the...
A firm produces an output with the production function Q = KL, where Q is the number of units of output per hour when the firm uses K machines and hires L workers each hour. The marginal products for this production function are MPK= L and MPL= K. The factor price of K is 4 and the factor price of L is 2. The firm is currently using K = 16 and just enough L to produce Q = 32....
Suppose that a firm has an L-shaped (Leontieff or min) production function and it uses 50...
Suppose that a firm has an L-shaped (Leontieff or min) production function and it uses 50 workers (L=50) and 30 machines (K=30) to produce the desired amount of output. If the price of capital drops, the firm will increase the number of machines and decrease the amount of labor in order to maximize profits. Select one: True False
firm can manufacture a product according to the production function Q = F (K, L) =...
firm can manufacture a product according to the production function Q = F (K, L) = K0.75 L 0.25 a. What is this type of function called? Are the inputs perfect substitutes or should they be used in a fixed proportion instead? © (3pts) b. Suppose capital is fixed at 81 units. If the firm can sell its output at a price of $200 per unit and wage is $50, how many units of labor should the firm hire in...
A firm produces X using the following production function: Q = F(K,L) = 32K0.76L0.24. K=6 units....
A firm produces X using the following production function: Q = F(K,L) = 32K0.76L0.24. K=6 units. If the firm can sell each unit X at $22.20 and can hire labor at $16.00 per unit. Answer the below questions with the information provided. The total profits when the firm uses optimal labor is? How many workers the firm will hire in order to maximize profits? How many units of X the firm will produce in order to maximize profits?
A firm can manufacture a product according to the production function Q = F (K, L)...
A firm can manufacture a product according to the production function Q = F (K, L) = K0.75 L0.25 a. What is this type of function called? Are the inputs perfect substitutes or should they be used in a fixed proportion instead? © (3pts) b. Suppose capital is fixed at 81 units. If the firm can sell its output at a price of $200 per unit and wage is $50, how many units of labor should the firm hire in...
A firm can manufacture a product according to the production function Q = F (K, L)...
A firm can manufacture a product according to the production function Q = F (K, L) = K0.75 L0.25 a. What is this type of function called? Are the inputs perfect substitutes or should they be used in a fixed proportion instead? © (3pts) b. Suppose capital is fixed at 81 units. If the firm can sell its output at a price of $200 per unit and wage is $50, how many units of labor should the firm hire in...
A firm uses two inputs, capital K and labor L, to produce output Q that can...
A firm uses two inputs, capital K and labor L, to produce output Q that can be sold at a price of $10. The production function is given by Q = F(K, L) = K1/2L1/2 In the short run, capital is fixed at 4 units and the wage rate is $5, 1. What type of production function is F(K, L) = K1/2L1/2 ? 2. Determine the marginal product of labor MPL as a function of labor L. 3. Determine the...
A firm produces an output with the production function Q=K*L2, where Q is the number of...
A firm produces an output with the production function Q=K*L2, where Q is the number of units of output per hour when the firm uses K machines and hires L workers each hour. The marginal product for this production function are MPk =L2 and MPl = 2KL. The factor price of K is $1 and the factor price of L is $2 per hour. a. Draw an isoquant curve for Q= 64, identify at least three points on this curve....
Suppose the market price that a firm can sell its product for is a function of...
Suppose the market price that a firm can sell its product for is a function of how much it and the firm's competitor produce so that p = 136 - (x1 + x2) where p is the selling price, x1 is the firm's production, and x2 is the competitor s production. The firm's cost function is 28 + 3.6*x1. If the firm's competitor produces x2 = 27 units, how much should the firm produce if it wants to maximize the...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT