An Economy Is Employing 2 Units of Capital, 5 Units

question 53

Multiple Choice

An economy is employing 2 units of capital, 5 units of raw materials, and 8 units of labor to produce its total output of 640 units.Each unit of capital costs $10; each unit of raw materials, $4; and each unit of labor, $3.The per-unit cost of production in this economy is

• A)$0.05.
• B)$0.10.
• C)$0.50.
• D)$1.00.

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