Maurice Tutor

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  • MCS,PHD
    Argosy University/ Phoniex University/
    Nov-2005 - Oct-2011

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    Phoniex University
    Oct-2001 - Nov-2016

Category > Management Posted 08 Nov 2017 My Price 5.00

DISK, Inc.,

9.     The production function for the personal computers of DISK, Inc., is given by

 

q = 10K0.5L0.5

 

where q is the number of computers produced per day, K is hours of machine time, and L is hours of labor input. DISK’s competitor, FLOPPY, Inc., is using the production function

 

q = 10K0.6L0.4

 

a.    If both companies use the same amounts of capital and labor, which will generate more output?

b.     Assume that capital is limited to 9 machine hours, but labor is unlimited in supply. In which company is the marginal product of labor greater? Explain.

 

 

Answers

Maurice Tutor
(5)
Status NEW Posted 08 Nov 2017 09:11 PM My Price 5.00

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