An economy has an agricultural industry and a textile industry. Each unit of agricultural output requires 0.4 unit of agricultural input and 0.1 unit of textiles input. Each unit of textiles output requires 0.1 unit of agricultural input and 0.2 unit of textiles input. If surpluses of 5 units of agricultural products and 195 units of textiles are desired, find the gross production of each industry.
A) agriculture = 60, textiles = 240
B) agriculture = 50, textiles = 250
C) agriculture = 60, textiles = 250
D) agriculture = 300, textiles = 250
E) agriculture = 60, textiles = 300
Correct Answer:
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