An Airport Is Located Next to a Housing Development

question 23

Multiple Choice

An airport is located next to a housing development.Where X is the number of planes that land per day and Y is the number of houses in the housing development, profits of the airport are 22X - X² and profits of the developer are 32Y - Y ² - XY.Let H₁ be the number of houses built if a single profit-maximizing company owns the airport and the housing development.Let H₂ be the number of houses built if the airport and the housing development are operated independently and the airport has to pay the developer the total "damages" XY done by the planes to the developer's profits.

• A)H₁ = 16 and H₂ = 15.
• B)H₁ = 14 and H₂ = 16.
• C)H₁ = 16 and H₂ = 14.
• D)H₁ =H₂ = 14.
• E)H₁ = 15 and H₂ = 19.

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Definitions:

Sales Representatives

Individuals who represent a company by selling its products or services to customers, often working to meet sales targets and maintain customer relationships.

Democratic Leader

A leadership style where decisions are made based on the input of team members, promoting participation and equality among the group.

Employee Participation

Refers to the involvement of employees in decision-making processes and contributing to the improvement of organizational practices.

Tasks Over People

A management approach that prioritizes work and tasks achievement over attending to the well-being and needs of employees.