What Is Not True When Thinking of the Firm's Objective

question 1

Multiple Choice

What is not true when thinking of the firm's objective as a cost-minimization problem rather than as a profit-maximization problem?

• A)The slope at any point on any isoquant reveals the marginal rate of technical substitution.
• B)The firm chooses labor and capital to minimize its costs.
• C)The firm chooses a particular level of output to produce.
• D)The price of the output good never enters the decision as to how much labor or capital to employ.
• E)The firm will choose labor and capital inputs so that the marginal productivity of labor relative to the marginal productivity of capital equals the price of labor relative to the price of capital.

---

Definitions:

Marketing Research Process

An organized series of steps taken to gather and analyze information to help in marketing decision-making.

Secondary Data

Information that has been previously collected and published by others, used for research or analysis.

Census Data

Information collected through a comprehensive survey of a population, detailing demographic, social, and economic profiles.

Trade Association

is an organization founded and funded by businesses that operate in a specific industry, aimed at promoting their collective interests.