A Factory Produces Product a According to the Production Function

question 20

Multiple Choice

A factory produces product A according to the production function Q_A = 100X_A, where X_A denotes the amount of input and Q_A is the quantity produced. It also produces product B according to the production function Q_B = 200X_B - X_B², where X_B denotes the amount of input and Q_B is the quantity produced. The total available amount of input X is 100 units. The firm's profit-maximizing allocation of input X is:

• A) X_A = 60 and X_B = 40.
• B) X_A = 50 and X_B = 50.
• C) X_A = 0 and X_B = 100.
• D) X_A = 100 and X_B = 0.
• E) X_A = 30 and X_B = 70.

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Hand Picker

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PCI DSS

The Payment Card Industry Data Security Standard, a set of security standards designed to ensure that all companies that accept, process, store, or transmit credit card information maintain a secure environment.

Cloud Solution

A service or set of services that are provided and accessed over the internet, allowing for data storage and computing to be managed by external servers.

Credit Card Payments

Transactions made using a credit card as the method of payment, allowing for the borrowing of funds from the card issuer.