Suppose That a Company Can Produce P(x, Y) = 50 $\sqrt { \frac { \left( x ^ { 3 } + y ^ { 3 } \right) } { 10 } }$

question 46

Multiple Choice

Suppose that a company can produce P(x, y) = 50 $\sqrt { \frac { \left( x ^ { 3 } + y ^ { 3 } \right) } { 10 } }$ items using x units of labor and y units of capital. What is the productivity of capital when x = 10 and $y = 20$ ?

• A) 3000
• B) 100
• C) 500
• D) 2500
• E) none of these

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Definitions:

Special Dividend

A one-time distribution of earnings to shareholders, oftentimes an indication of excess cash the company wants to return.

Homemade Dividend

A concept where investors create their own dividend policy by selling a portion of their portfolio of equities instead of relying on company-issued dividends.

Liquidating Dividend

A type of dividend paid by a company that is returning a portion of the capital to its shareholders, typically during dissolution.

Price/earnings Ratio

The Price/Earnings Ratio (P/E Ratio) is a valuation metric that compares the current share price of a company to its per-share earnings, used by investors to evaluate the investment attractiveness of a company.