Figure 11-15 -Refer to Figure 11-15.What Is the Combination of Inputs That

question 91

Multiple Choice

Figure 11-15

-Refer to Figure 11-15.What is the combination of inputs that produces 200 gooseberry pies at the lowest cost?

• A)combination e: 10 hours of labor and 48 units of capital
• B)combination f: 40 hours of labor and 24 units of capital
• C)combination g: 60 hours of labor and 14 units of capital
• D)combination h: 60 hours of labor and 9 units of capital

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Definitions:

Promissory Note

An economic tool comprising a formal pledge by one party to give a specific amount of money to another, redeemable upon request or at a predetermined time.

Discounted

Refers to the reduction of an item's price or the present value of future cash flows discounted back to the present value.

Proceeds

The amount of money brought in from a transaction or sale, before any expenses are deducted.

Compounded Semi-annually

The process of applying interest to both the principal amount and any accumulated interest every six months.