Solved

The Figure Below Shows the Isocost Lines and the Isoquant

Question 81

Multiple Choice

The figure below shows the isocost lines and the isoquant map for a firm producing golf tees.
The figure below shows the isocost lines and the isoquant map for a firm producing golf tees.    FIGURE 8- 6 -Refer to Figure 8- 6.Suppose this firm is producing 3000 golf tees and is at point F on the isoquant map.In order to maintain its output and minimize costs this firm should A) move to an isoquant closer to the origin. B) not change its use of factors. C) employ more labour and less capital. D) employ more capital and less labour. E) move to an isocost line further from the origin. FIGURE 8- 6
-Refer to Figure 8- 6.Suppose this firm is producing 3000 golf tees and is at point F on the isoquant map.In order to maintain its output and minimize costs this firm should


A) move to an isoquant closer to the origin.
B) not change its use of factors.
C) employ more labour and less capital.
D) employ more capital and less labour.
E) move to an isocost line further from the origin.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions