Multiple Choice
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.At each of points A,C,E and G on the isoquant map we know that
A) the ratio of the marginal utilities of capital and labour is equal to the ratio of the prices of capital and labour.
B) the firm is at its cost- minimizing position for an output level of 4000 golf tees.
C) the firm can adjust its employment of factors to reduce its total cost,with output unchanged.
D) the firm has adjusted the factor prices to equate the ratio of marginal products of the factors.
E) the ratio of the marginal products of capital and labour is equal to the ratio of the prices of capital and labour.
Correct Answer:

Verified
Correct Answer:
Verified
Q18: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB5441/.jpg" alt=" FIGURE 8-4 -Refer
Q21: With respect to innovation,which of the following
Q22: Suppose RioTintoAlcan is considering the construction of
Q23: Suppose that capital costs $10 per unit
Q24: The figure below shows the isocost lines
Q25: The slope of a firm's isocost line
Q27: Refer to Figure 8- 6.Suppose the firm
Q28: The figure below shows a family of
Q31: The figure below shows the isocost lines
Q130: The figure below shows the isocost lines