A total of 160 hours of labor are available each week at $15 per hour.Additional labor can be purchased at $25 per hour.Capital can be purchased in unlimited quantities at a cost of $45 per unit.If K units of capital and L units of labor are available during a week,then machines can be produced.Each machine sells for $270.How can the firm maximize its weekly profit?

Question

A total of 160 hours of labor are available each week at $15 per hour.Additional labor can be purchased at $25 per hour.Capital can be purchased in unlimited quantities at a cost of $45 per unit.If K units of capital and L units of labor are available during a week,then  machines can be produced.Each machine sells for $270.How can the firm maximize its weekly profit?

Quizplus · Accepted Answer

The Answer of A total of 160 hours of labor are available each week at $15 per hour.Additional labor can be purchased at $25 per hour.Capital can be purchased in unlimited quantities at a cost of $45 per unit.If K units of capital and L units of labor are available during a week,then  machines can be produced.Each machine sells for $270.How can the firm maximize its weekly profit?

A Total of 160 Hours of Labor Are Available Each