Two Firms Can Use Five Different Technologies to Produce the Same

question 94

Multiple Choice

Two firms can use five different technologies to produce the same quantity of output: 1,2,3,4 and 5.The first technology is the cheapest,but also the dirtiest.The fifth technology is the most expensive,but results in the lowest levels of pollution.The amount of pollution emitted by each firm and the cost of the technologies are shown in the table. $$\begin{array} { l r l l l l } \text { Technology } & 1 & 2 & 3 & 4 & 5 \\\text { Emissions } & 10 \text { tons } & 8 \text { tons } & 6 \text { tons } & 4 \text { tons } & 2 \text { tons } \\\text { Acme's Costs } & \$ 750 & \$ 800 & \$ 1000 & \$ 1400 & \$ 2000 \\\text { FirmCo's Costs } & \$ 500 & \$ 700 & \$ 1200 & \$ 2200 & \$ 4000\end{array}$$
In the absence of either government regulation or private negotiation,the 2 firms will produce using technology __________ and pollution will be __________.

• A)3;12 tons
• B)5;4 tons
• C)2;16 tons
• D)1;20 tons

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Definitions:

Voice of Management

The ways in which an organization's management communicates with employees, often concerning decision-making, policies, and overall direction.

Human Resource Departments

Organizational units responsible for recruiting, training, and managing employees.

Sustainable Strategies

Approaches in organizational and business planning that focus on long-term success and sustainability by considering environmental, social, and economic impacts.

Employee Development

Activities and programs offered by an organization to improve the skills and competencies of its employees.