The Following Cobb-Douglas Production Function,Q = 1.8L^0.74K^0.36,exhibits

question 35

Multiple Choice

The following Cobb-Douglas production function,Q = 1.8L^0.74K^0.36,exhibits

• A)increasing returns.
• B)constant returns.
• C)decreasing returns.
• D)Both A and B

---

Definitions:

General Management

The executive and organizational activities involved in directing a company or one of its departments, focusing on strategy, policy development, and achieving business objectives.

Physical Plant

Refers to the physical facilities of a business, including buildings and equipment.

Step-down Method

An allocation method used in cost accounting to distribute overhead costs to various cost centers and products in stages based on their usage of services.

Physical Plant Department

The division within an organization responsible for managing and maintaining the physical facilities, including buildings and grounds.