By selling the five pieces of equipment each man used to perform all five steps, each worker can buy more advanced equipment necessary for his unique task.

The answer is A. The Nash equilibria in pure strategies for this scenario can be found by identifying the combinations of products that both firms will choose that result in neither firm having an incentive to change their choice given the other firm's choice.

In this scenario, there are two Nash equilibria in pure strategies. The first is for Firm 1 to introduce Product B and Firm 2 to introduce Product C, and the second is for Firm 1 to introduce Product C and Firm 2 to introduce Product B. In both of these equilibria, neither firm has an incentive to switch to a different product given the other firm's choice.
Therefore, the answer is A. The Nash equilibria are for Firm 1 to introduce Product B and Firm 2 to introduce Product C and for Firm 1 to introduce Product C and Firm 2 to introduce Product B.

To know more about Nash equilibria, please click on:

https://brainly.com/question/29692505

#SPJ11

$23.200. Reproduction costs are the costs associated with precisely replicating an asset or piece of property using the same components and specifications as an insured piece of property, depending on current prices.

To determine depreciation - The amount that can be depreciated is calculated by deducting the salvage value of the asset from its purchase price. By how many years the asset will be useful, divide this sum.

The difference between the cost at new (replacement or replication) and the present value of an improvement is known as accrued depreciation. It calculates the entire value loss as of the evaluation date due to every factor.

One of the cost approaches for calculating an intellectual property's worth is the reproduction cost valuation method. The reproduction cost approach computes the entire cost of producing an exact replica of the original intellectual property using the going rate for similar goods and services.

To know more about Reproduction Cost, click on the link below:

https://brainly.com/question/28059227

#SPJ4

Requirements for formal deliverable acceptance and how to address nonconforming deliverables are usually defined in the project's quality management plan.

A crucial component of project quality management is understanding the conditions for formal deliverable acceptance and how to handle nonconforming deliverables. The quality management strategy for the project will typically define these elements. The quality management plan is a formal document that defines how the project will assure quality and what processes, procedures, and instruments will be utilised to make sure that the outputs match the established quality requirements.

In this plan, the quality assurance and control procedures are described, along with how nonconforming deliverables will be handled and what remedial measures will be done to deal with any problems that may occur. The plan also specifies the requirements that a deliverable must satisfy to be deemed full and acceptable.

Learn more about deliverables:

https://brainly.com/question/30457022

#SPJ4

As competitors attempt to imitate another company's activities, such as the intense rivalry between Coke and Pepsi, what was once an advantage becomes  a minimum requirement to compete in the industry. Thecorrect option is (A).

When a company develops a competitive advantage, it often forces other companies to imitate and adopt similar strategies to remain relevant in the industry. In the case of Coke and Pepsi, both companies constantly innovate and develop new marketing tactics, products, and strategies to outperform each other. As one company introduces a successful strategy, the other is likely to imitate it to stay competitive.

Over time, these imitated strategies and activities become the standard for the industry, and all companies must adopt them to remain competitive. This process turns the initial advantage into a minimum requirement to compete in the industry, as every company must now possess this attribute to succeed.

To know more about competitors click here

brainly.com/question/14752851

#SPJ11

The work and leisure model predicts that when there is a decrease in the wage rate and the substitution effect exceeds the income effect, individuals will choose to supply less labor. b. less labor will be supplied, as individuals will choose to work less and enjoy more leisure time due to the decrease in the wage rate.

This is because the reduced wage rate makes leisure more attractive relative to work, leading to a decrease in labor supply. The substitution effect refers to the fact that as the wage rate decreases, the opportunity cost of leisure time decreases relative to the cost of working, making leisure time more attractive. The income effect refers to the fact that as the wage rate decreases, individuals may feel less able to afford the same level of consumption as before, which may lead them to work more to make up for the loss of income. However, if the substitution effect is greater than the income effect, individuals will still choose to work less and enjoy more leisure time.

Learn More about labor here :-

https://brainly.com/question/15400721

#SPJ11

Job analysis is a systematic process of gathering information about a job or position in an organization to understand the duties, responsibilities, and requirements of the job.

The steps involved in job analysis are as follows:

The evolution of job analysis has undergone several stages over time. Initially, it focused on identifying the physical requirements of the job. Later, it shifted to identifying the knowledge, skills, and abilities required to perform the job. Currently, job analysis emphasizes identifying the competencies and behaviors needed to achieve job success. With the advancement of technology, job analysis has also evolved to include new tools and methods for data collection and analysis, such as online surveys and artificial intelligence. Additionally, there is a greater emphasis on job analysis as a means to support job design, performance management, and employee development.

Learn more about Job analysis here:

brainly.com/question/29802928

#SPJ11

The Germans faced numerous challenges during the Stalingrad Campaign, and there were several things they could have done differently to try to turn the tide of the battle.

Focus on capturing key strategic points: One of the reasons the Germans struggled in Stalingrad was that they spread themselves too thin. Instead of trying to capture every single building and block, they could have focused on key strategic points like the Volga River or the railway station.
Use their air superiority more effectively: The Germans had a significant advantage in terms of air power, but they didn't use it as effectively as they could have. They could have used their planes to bomb Soviet supply lines, disrupt reinforcements, and provide more support to their ground troops.
Avoid getting bogged down in urban combat: Urban combat is notoriously difficult and costly, and the Germans may have been better off avoiding it as much as possible. Instead, they could have focused on encircling the city and cutting off Soviet supply lines, which would have made it much harder for the defenders to hold out.
Provide better logistical support to their troops: The Germans struggled to provide enough food, ammunition, and medical supplies to their troops during the Stalingrad Campaign. If they had been able to provide better logistical support, their troops may have been better equipped to withstand the harsh conditions of the Russian winter.
Overall, there were several things the Germans could have done differently to try to save the Stalingrad Campaign, but ultimately, it was a very difficult battle to win. The Soviet defenders were highly motivated and well-prepared, and the Germans were facing a variety of logistical and strategic challenges that made victory unlikely.

For more such questions on challenges visit:

https://brainly.com/question/30820313

#SPJ11

Procurement audit is a structured review of the procurement process originating from the plan procurement management process through control procurements.

The primary reason of a procurement audit is to assess the effectiveness and efficiency of the procurement manner, make certain compliance with procurement rules and methods, and identify any regions for development.

The audit examines various elements of procurement, along with procurement making plans, solicitation, assessment of proposals, agreement management, and closeout.

The audit effects in a report that identifies strengths and weaknesses within the procurement procedure and affords pointers for development. A procurement audit is an crucial device for making sure that the procurement technique is obvious, truthful, and gives fee for cash..

Learn more about Procurement audit:-

https://brainly.com/question/31377057

#SPJ4

The allowed percentage for clerk voids can vary depending on the company or industry. Clerk voids typically refer to the number of times a sales clerk cancels or voids a transaction or item during a shift.In general, the allowed percentage for clerk voids is usually quite low, typically ranging from 1-3% of total sales.

This is because excessive voids can indicate fraudulent activity, errors in sales processing, or poor customer service.To ensure compliance with company policies, many businesses monitor and track clerk voids using point of sale (POS) software or other tracking systems. Managers may also conduct regular audits and provide training to employees on proper sales procedures and handling customer requests for returns or cancellations.

Overall, limiting the percentage of clerk voids is important for maintaining the integrity of sales data and ensuring that customer transactions are accurately recorded and processed.

To know more about clerk click here

brainly.com/question/31253875

#SPJ11

In a short run, where  10 firms have the same MC = 10q +15 and having market demand curve P = 45 - Q, each firm will produce 1.5 units. Therefore, the correct answer is (a) 1.5 units.

In the short run, the 10 firms have the same marginal cost (MC) function, which is MC = 10q +15. This means that each firm's cost of producing an additional unit of output is equal to 10 times the quantity produced plus a constant term of 15.
To determine how many units each firm will produce in the short run, we need to find the profit-maximizing level of output for each firm. Since the firms are operating in a perfectly competitive market, they will produce at the point where their marginal cost equals the market price.
The market demand curve is given by P = 45 - Q, where Q is the total quantity demanded in the market. Since there are 10 identical firms, each firm's share of the market is Q/10. Therefore, the market price is given by P = 45 - Q/10.
Setting MC equal to P, we get:
10q +15 = 45 - Q/10
Multiplying both sides by 10, we get:
100q + 150 = 450 - Q
Simplifying, we get:
101q = 300
q = 2.97
Since each firm's share of the market is Q/10, each firm will produce 0.297 units of output. This is closest to answer choice (a) of 1.5 units, which is the product of the individual firm output and the number of firms in the market. Therefore, the correct answer is (a) 1.5 units.

for more such question on short run

https://brainly.com/question/31392571

#SPJ11

The distinct feature of law firms as a service provider is that they follow a centralized structure.

Law firms are businesses that provide legal services to individuals, organizations, and other clients. Law firms employ lawyers who are licensed to practice law in a particular jurisdiction, and they typically offer a range of legal services, including:

1. Litigation and Dispute Resolution: This involves representing clients in court or in alternative dispute resolution processes such as mediation or arbitration.

2. Corporate Law: This includes providing legal advice and services to businesses on matters such as incorporation, contracts, and mergers and acquisitions.

3. Real Estate Law: This involves providing legal advice and services related to buying, selling, leasing, or developing real estate.

learn more about law firms here:

https://brainly.com/question/31111179

#SPJ11

The main answer is that according to conflict theorists, business owners and corporate leaders support non-discrimination policies to help them maintain a competitive edge in recruiting and maintaining a productive workforce.

Conflict theorists argue that business owners and corporate leaders support non-discrimination policies because they believe that such policies would help them maintain a competitive edge in recruiting and maintaining a productive workforce.

These policies ensure that employees are not discriminated against based on their sexual orientation, gender identity, or other protected characteristics. By promoting diversity and inclusivity in the workplace, businesses can attract and retain top talent from diverse backgrounds, which can contribute to a more productive and innovative workforce.

Read more about Conflict

brainly.com/question/846617

#SPJ1

If consumer and business confidence increases, it would lead to an increase in consumption demand and a decrease in saving or supply of loanable funds. Additionally, it would lead to an increase in investment demand as firms would want to take advantage of the optimistic outlook for the future.

This would result in a rightward shift of the C-curve, a leftward shift of the S-curve, and a rightward shift of the I-curve.

Assuming the central bank uses money supply as its policy instrument, an increase in confidence would lead to an increase in money demand and a rightward shift of the LM curve.

This, in turn, would lead to a rightward shift of the AD curve and an increase in equilibrium output and price level. Overall, the increase in confidence would lead to a short-run increase in output and price level.

For more questions like Money click the link below:

https://brainly.com/question/22984856

#SPJ11

Classical macroeconomists believe in the "invisible hand" of the market and the idea that the economy will naturally self-correct to reach equilibrium. They emphasize the importance of free markets, minimal government intervention, and the role of individual self-interest in driving economic growth.

Classical economists believe that prices adjust quickly to changes in supply and demand, which leads to efficient allocation of resources. They argue that government intervention in the economy, such as fiscal and monetary policy, can create market distortions and result in long-term economic problems.

In contrast, Keynesian macroeconomists believe that government intervention is necessary to stabilize the economy and promote economic growth.

They argue that market failures, such as recessions and high unemployment, can persist for long periods and require government intervention to address. Keynesian economists advocate for active fiscal policy, such as government spending and tax cuts, to stimulate economic growth and stabilize the economy. They also support monetary policy, such as manipulating interest rates, to regulate economic activity.

The modern consensus among economists is that both classical and Keynesian ideas have merit and can be used in combination to promote economic growth and stability.

for more such questions on economy

https://brainly.com/question/28210218

#SPJ11

The conversion rate for the electronic coupon campaign is 62.4%.

To calculate the conversion rate, we divide the number of people who downloaded the electronic coupon (421) by the total number of visitors to the landing page (675) and multiply by 100 to get a percentage:

Conversion Rate = (Number of Downloads / Total Visitors) x 100

Conversion Rate = (421 / 675) x 100 = 62.4%

This means that out of all the people who visited the landing page, 62.4% of them actually downloaded the coupon.

For more questions like Rate click the link below:

https://brainly.com/question/14731228

#SPJ11

The individual or team responsible for identifying, analyzing, and recommending program alternatives, developing and submitting budgets, and putting plans into action varies depending on the organization and its structure.

In some cases, it may be a dedicated department or team within the organization, such as a program management office or budget office.

In other cases, it may fall under the responsibilities of senior leadership or specific department heads.

Additionally, the process may involve collaboration between multiple departments or teams.

Ultimately, the responsibility for these tasks falls on those who have the authority and resources to make informed decisions and execute plans effectively.

Know more about organization here:

https://brainly.com/question/19334871

#SPJ11

Quality improvement is the process of continuously evaluating and enhancing the quality of healthcare services to ensure that patients receive the best possible care.

This involves identifying areas of improvement, implementing evidence-based practices, and measuring outcomes to determine the effectiveness of the interventions.

At its core, quality improvement means doing the right thing at the right time for the right individual to get the best possible results. This includes providing timely and appropriate care, reducing errors and waste, enhancing patient safety, and improving patient outcomes.

By focusing on quality improvement, healthcare providers can improve the overall quality of care, enhance patient satisfaction, and reduce costs. This benefits both patients and healthcare providers, making quality improvement a crucial component of healthcare delivery.

Learn more about Quality improvement

https://brainly.com/question/30278032

#SPJ4

Conditions for rural development are;

Land reform is a process of restructuring the land tenure system to ensure equitable distribution of land, enhance land productivity, and improve rural livelihoods.

Conditions for Rural Development:

Access to Basic Infrastructure: Access to basic infrastructure such as roads, electricity, clean water, and sanitation facilities is necessary for rural development.

This will improve the transportation of goods and people, and enhance the quality of life for rural dwellers.

Access to Credit: Access to affordable credit is essential to support agricultural activities and small business development in rural areas.

It will enable farmers to invest in their farms, purchase modern equipment, and improve productivity.

Access to Education: Education is critical for rural development. It will help to reduce poverty, promote innovation, and provide opportunities for young people to acquire knowledge and skills that will enable them to engage in productive economic activities.

Conclusions:

Investment in rural development is key to addressing poverty, inequality, and unemployment in rural areas.

Collaboration between governments, private sector, and civil society is necessary for sustainable rural development.

Rural development policies should be context-specific and based on participatory planning and community engagement.

Land Reform:

Land reform is a process of restructuring the land tenure system to ensure equitable distribution of land, enhance land productivity, and improve rural livelihoods.

It involves policies and programs that aim to address issues of land ownership, land access, and land use rights. Land reform can include measures such as land redistribution, land restitution, land tenure regularization, and land administration reform.

The objectives of land reform include promoting social justice, reducing poverty, enhancing food security, and promoting sustainable land use.

Learn more about Land reform.

brainly.com/question/11361484

#SPJ11

If the principal resource used to produce a good or service becomes extremely scarce, the market supply curve will shift to the left, representing a decrease in supply.

This shift occurs because the scarcity of the resource makes it more difficult and costly to produce the good or service. Consequently, the equilibrium price will increase, as producers need to charge more to cover their increased production costs.

If the principal resource used to produce the good or service that you sell becomes extremely scarce, the market supply curve will shift to the left. This is because there will be less of the resource available to produce the good or service, causing a decrease in the quantity supplied at each price level. As a result, the equilibrium price will increase, and the equilibrium quantity will decrease.

This is due to the basic economic principle of supply and demand. As the supply of the good or service decreases, the demand for it will remain the same or increase, creating a shortage. In order to balance out the shortage, the price of the good or service will increase until the demand decreases to meet the lower supply. The equilibrium quantity will decrease because fewer units of the good or service can be produced with the scarce resource, resulting in a lower total quantity being supplied.

Overall, the scarcity of the principal resource used to produce your good or service will lead to a decrease in supply, an increase in price, and a decrease in the equilibrium quantity of your product in the market.

Learn more about principal resource here: brainly.com/question/806191

#SPJ11

Option a: According to/as per the Tax Cuts and Jobs Act of 2017, after 2021, the net interest deduction drops to 30 percent of EBIT.

The Tax Cuts and Jobs Act (TCJA), which amended the Internal Revenue Code of 1986, was first introduced in Congress as the Act to provide for reconciliation pursuant to titles II and V of the concurrent resolution on the budget for fiscal year 2018, Pub. L. 115-97 (PDF).

the elimination of personal exemptions and making it less advantageous to itemise deductions, the reduction of tax rates for individuals and businesses, the expansion of the standard deduction and family tax credits, the limitation of deductions for state and local income taxes and property taxes, the further restriction of the mortgage interest deduction, the elimination of the alternative minimum tax for corporations and the reduction of the alternative minimum tax for individuals as well as the doubling of the estate tax exemption are all significant changes.

To learn more about Tax Cuts and Jobs Act, here:

https://brainly.com/question/26428089

#SPJ4

Effective communication and coordination between employees doing different types of work is critical for the success of any organization.

People in research and development, manufacturing, and sales departments are often required to work together to ensure that products, services, and processes are developed, manufactured, and sold in a timely and efficient manner.

Effective communication between these departments helps to ensure that resources are being used in the most efficient manner possible and that any issues or problems are identified and addressed quickly. Additionally, good communication and coordination helps to ensure that information is shared between departments and that everyone is working together to achieve the same goals.

By ensuring that employees in different departments are communicating and coordinating their efforts, organizations can maximize their efficiency and foster a collaborative environment.

Know more about Effective communication here

https://brainly.com/question/1423564#

#SPJ11

The given statement "in the context of the Cultural Web, routines and rituals include corporate objectives, measurement systems, and reward and recognition systems is false because it refers to the regular practices within an organization, such as daily routines, meeting structures, and social events.

The Cultural Web refers to that tool which is used to mapping the culture of the organization or business. It is also used to map the current culture and to map the next or future culture.

The cultural web analysis is used to assume the organization has impact the implementation of the change.

Therefore, the given statement is False.

To know more about Cultural Web here,

https://brainly.com/question/26380385

#SPJ4

In concept testing, a statement or description of a product or service is presented to potential buyers to obtain their reactions and feedback.

The purpose of concept testing is to assess the viability and potential market appeal of a product or service before it is actually developed and brought to market.

Concept testing can be done through various methods, such as surveys, focus groups, or individual interviews. The feedback obtained through concept testing can help businesses identify potential issues or concerns with their product or service, as well as areas where improvements or modifications may be needed.

This can help businesses save time and resources by avoiding the development and launch of products that are unlikely to succeed in the market.

Learn more about concept testing,

https://brainly.com/question/29738074

#SPJ4

The federal government expects to receive $4,600 billion (or $4.6 trillion) in tax revenue next year. Option D.

The government's budget constraint can be expressed as follows:

G = T - S - M

where T is tax revenue, S is government savings, and M is government transfers.

In this case, we can assume that government savings and transfers are negligible, so we can simplify the equation as:

G = T

where G = $4,000 billion and S = -$600 billion.

Substituting these values into the equation, we get:

$4,000 billion = T - $600 billion

Adding $600 billion to both sides, we get:

$4,600 billion = T

So, the correct answer is (d) $4,600 billion.

for more such question on tax revenue

https://brainly.com/question/29215928

#SPJ11

Note - The complete question is this..

The federal government expects that government spending (G) will be about $4,000 billion (or $4 trillion) next year, and it expects that the federal budget deficit will be about - $600 billion. Therefore, how much does it expect to receive in tax revenue (T)?

a. $600 billion

b. $4,000 billion

c. $3,400 billion

d. $4,600 billion

The question "How do I sign in?" is not one of the three questions presented relative to conversion likelihood on a website.

The three questions are typically "What are you offering?", "Why should I pick you?", and "What do you want me to do next?"

What is conversion likelihood?

Conversion likelihood refers to the probability or likelihood that a visitor to a website will take a desired action, such as making a purchase, filling out a form, or subscribing to a newsletter. It is often used as a metric to evaluate the effectiveness of a website or a specific webpage. Factors that can impact conversion likelihood include the design and layout of the website, the clarity of the call-to-action, and the perceived value of the product or service being offered.

What is website?

A website is a collection of web pages and related content that is identified by a common domain name and published on at least one web server. It is accessed via a network such as the Internet and can be used for various purposes, such as sharing information, providing services, selling products, and more.

To know more about website, visit:

https://brainly.com/question/19459381

#SPJ1

Colortrigon Company income will increase by $30,000, and hence the Company should accept the order. So the answer is option (a) yes, income will increase by $30,000.

Earnings before interest and taxes (EBIT), a metric used in accounting and finance to assess a company's profit, takes into account all revenues and outlays minus interest and income tax expenditures. Following the deduction of all operating costs and depreciation, a company's operating income is defined as its adjusted revenue.

Operating income, often known as operational costs, are the expenses incurred to keep the business open for business. Operating income is the profit of a business after fixed operating costs and variable costs, such as the cost of managing day-to-day operations, such as paying rent and employees, depreciation and amortization, and the cost of goods sold, have been subtracted.

Given:

Increase in operating income

= $6000 (selling price- direct materials - direct labor - variable overhead)

= $6000 ( $15 - $6 - $2 - $2 )

= $30,000

Hence the increase in operating income is $30,000

To learn more about operational costs, visit

https://brainly.com/question/15699967

#SPJ1

a) Since the marginal cost is lower at the L.A. plant, Gillette will allocate as much production as possible to that plant, up to its capacity limit. b) The total quantity produced and the market price would remain the same.

a) To find the profit-maximizing output and price, we first need to calculate the total demand for the Mexican market. We can do this by adding up the demand for blades from both plants: Q = Q1 + Q2.

From the demand function, we know that the inverse demand curve is P = 968 - 20Q. Solving for Q, we get:

Q = (968 - P)/20

The total cost of production for Gillette is the sum of the costs of the two plants: TC = MC1(Q1)Q1 + MC2(Q2)Q2.

Taking the derivative of this expression with respect to Q1, we get:

MR1 = MC1(Q1)

Similarly, the derivative with respect to Q2 is:

MR2 = MC2(Q2)

Setting the two marginal revenues equal to each other, we get:

968 - 20Q = 1 + Q/2

Solving for Q, we get Q = 36 million blades per year. Plugging this into either the demand or marginal revenue equation, we can solve for the price:

P = 968 - 20Q = 328 cents per blade

To determine how Gillette should allocate production between its two plants, we need to compare the marginal costs of each plant. At the profit-maximizing output, the marginal cost at the Mexican plant is:

MC2(Q2) = 1 + 0.5Q2 = 19 million blades/year

The marginal cost at the L.A. plant is:

MC1(Q1) = 8 cents/blade

Since the marginal cost is lower at the L.A. plant, Gillette will allocate as much production as possible to that plant, up to its capacity limit. The remaining demand will be met by the Mexican plant.

b) If the marginal cost at the L.A. plant increased from 8 cents to 10 cents per blade, the profit-maximizing output and price for the Mexican market would be the same, but Gillette would allocate less production to the L.A. plant. At the profit-maximizing output of 36 million blades per year, the marginal cost at the L.A. plant would be:

MC1(Q1) = 10 cents/blade

This is now higher than the marginal cost at the Mexican plant, so Gillette would produce more blades in Mexico and fewer in L.A. However, the total quantity produced and the market price would remain the same.

For more such questions on  marginal cost visit:

https://brainly.com/question/30165613

#SPJ11

Alice's economic profit last year was $16,800 and her accounting profit was $56,800.

We need to subtract her explicit and implicit costs from her revenue.

Explicit costs:

Administrative assistant: $17,000

Rent for office space: $2,600 x 12 = $31,200

Total explicit costs = $17,000 + $31,200 = $48,200

Implicit costs:

Opportunity cost of not working at the real estate firm: $40,000

Total costs = $48,200 + $40,000 = $88,200

Accounting profit = Total revenue - Explicit costs = $105,000 - $48,200 = $56,800

Economic profit = Accounting profit - Implicit costs = $56,800 - $40,000 = $16,800

Therefore, Alice's economic profit last year was $16,800 and her accounting profit was $56,800.

The answer is D. $56,800; $16,800.

Learn more about accounting profit.

brainly.com/question/15036999

#SPJ11

To calculate the average variable cost of producing 3 units of output, we need to first calculate the total variable cost of producing 3 units and then divide it by 3. the average variable cost of producing 3 units of output is $20.

From the table, we can see that the variable cost for producing 3 units is $60.

let's first determine the total variable cost (TVC) for producing 3 units of output. The total cost (TC) for producing 3 units is $60. Given that the fixed cost (FC) is $23, we can calculate the total variable cost by subtracting the fixed cost from the total cost: TVC = TC - FC TVC = $60 - $23 TVC = $37 Now that we have the total variable cost, we can calculate the average variable cost (AVC) for producing 3 units of output. Divide the total variable cost by the quantity of output: AVC = TVC / Quantity of Output AVC = $37 / 3 AVC = $12.33 So, the average variable cost of producing 3 units of output is $12.33. Therefore, the average variable cost of producing 3 units of output is:

Average Variable Cost = Total Variable Cost / Quantity of Output

Average Variable Cost = $60 / 3

Average Variable Cost = $20

Learn more about Quantity here:

https://brainly.com/question/12986460

#SPJ11

This production function exhibits option c. Constant returns to scale as the given function can be used as property.

We are given the production function:

Y = AK^α L^β, where α = 1 - β

To determine the returns to scale, we need to check how the output (Y) changes when we scale both input factors (K and L) by a constant factor, say λ.

Let's multiply both K and L by λ:

Y' = A(λK)^α (λL)^β

Now we can use the property (λK)^α = λ^α * K^α and (λL)^β = λ^β * L^β:

Y' = A * λ^α * K^α * λ^β * L^β

Since α = 1 - β, we can rewrite this expression as:

Y' = A * λ^(1 - β) * K^α * λ^β * L^β

Now, we can combine the λ terms: λ^(1 - β) * λ^β = λ^(1 - β + β) = λ^1 = λ

Y' = A * λ * K^α * L^β

Since the new output (Y') is equal to the initial output (Y) multiplied by λ, we can conclude that this production function exhibits: c. Constant returns to scale.

Learn more about initial output here:

https://brainly.com/question/17255854

#SPJ11