The firm aims at maximizing its profits in the short run. The wage level is w=140. The production function is as below. Variable Input (Labour) Price of output Output L P Q 0 5 0 1 5 58 2 5 112 3 5 162 4 5 208 5 5 250 6 5 288 7 5 322 8 5 352 9 5 378 10 5 400 11 5 418   What is the optimum number of workers? a. 3 b. 4 c. 5 d. 6 e. All the other answers are wrong.

Q: s not maxim

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Isocost and Isoprofit Curve Analysis

An isocost curve in the production theory that is a crucial part of economics depicts different combinations of factor inputs at a given market cost. In other words, this shows all the combinations of production factors that cost the same for the firm to employ. Usually, this can be depicted as a downward sloping straight line when the firms act as the price-takers in the factor markets. The slope of this mainly depicts the relative prices of different production factors.