Donna's Schmoo Firm Uses One Input, Z, and She Sells

question 14

Multiple Choice

Donna's schmoo firm uses one input, z, and she sells her output at $10 per unit. The marginal product of z is 10 - z and the price of z is $20 per unit. The profit maximizing quantity of z is:

• A)5.0.
• B)5.5.
• C)8.0.
• D)10.0.

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