Homework Help is Here – Start Your Trial Now!
Business
Economics
Rikell company produces helmets using labor (L) and capital (K). Its production function is given by the following expression Qamint 90 L 23 K where Q is the output of helmets The prices of labor (PL), capital (PK), helmet (P) and the cost (C) are the following: PL=3, PK-2, P-34 and C=5221 What is the profit maximizing amount of capital that Rikell should hire ? Selected Answer: Correct Answer: 2.610.5 1,887.11 : 5%

Rikell company produces helmets using labor (L) and capital (K). Its production function is given by the following expression Qamint 90 L 23 K where Q is the output of helmets The prices of labor (PL), capital (PK), helmet (P) and the cost (C) are the following: PL=3, PK-2, P-34 and C=5221 What is the profit maximizing amount of capital that Rikell should hire ? Selected Answer: Correct Answer: 2.610.5 1,887.11 : 5%

Microeconomic Theory
Microeconomic Theory
12th Edition
ISBN:9781337517942
Author:NICHOLSON
Publisher:NICHOLSON
Chapter11: Profit Maximization
Section: Chapter Questions
Problem 11.9P
See similar textbooks
icon
Related questions
Question

3.

Rikell company produces helmets using labor (L) and capital (K). Its production function is given by the following expression X Qamint 90 L 23 K where Q is the output of helmets The prices of labor (PL), capital (PK), helmet (P) and the cost (C) are the following: PL 3, PK-2, P-34 and C=5221 What is the profit maximizing amount of capital that Rkell should hire? Selected Answer: Correct Answer: 2.610.5 1,887.11 : 5%
Transcribed Image Text:Rikell company produces helmets using labor (L) and capital (K). Its production function is given by the following expression X Qamint 90 L 23 K where Q is the output of helmets The prices of labor (PL), capital (PK), helmet (P) and the cost (C) are the following: PL 3, PK-2, P-34 and C=5221 What is the profit maximizing amount of capital that Rkell should hire? Selected Answer: Correct Answer: 2.610.5 1,887.11 : 5%
Expert Solution
steps

Step by step

Solved in 2 steps with 1 images

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Depreciation
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.
Recommended textbooks for you
Microeconomic Theory
Microeconomic Theory
Economics
ISBN:
9781337517942
Author:
NICHOLSON
Publisher:
Cengage
Essentials of Economics (MindTap Course List)
Essentials of Economics (MindTap Course List)
Economics
ISBN:
9781337091992
Author:
N. Gregory Mankiw
Publisher:
Cengage Learning
Microeconomics A Contemporary Intro
Microeconomics A Contemporary Intro
Economics
ISBN:
9781285635101
Author:
MCEACHERN
Publisher:
Cengage
Exploring Economics
Exploring Economics
Economics
ISBN:
9781544336329
Author:
Robert L. Sexton
Publisher:
SAGE Publications, Inc
Micro Economics For Today
Micro Economics For Today
Economics
ISBN:
9781337613064
Author:
Tucker, Irvin B.
Publisher:
Cengage,
Economics For Today
Economics For Today
Economics
ISBN:
9781337613040
Author:
Tucker
Publisher:
Cengage Learning
SEE MORE TEXTBOOKS