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Question 1 (25 marks) Kumulonga farm operates in a purely competitive market in the production of output Y. Its input- o
Posted: Sun Jun 05, 2022 4:01 pm
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- Question 1 25 Marks Kumulonga Farm Operates In A Purely Competitive Market In The Production Of Output Y Its Input O 1 (16.99 KiB) Viewed 42 times
Question 1 (25 marks) Kumulonga farm operates in a purely competitive market in the production of output Y. Its input- output relationship is of the following form Y = X₁ X₂; Px1=1, Px2=1. We assume that there are no fixed costs in this production process. How many units of output, Y, will the firm maximize net returns when the unit price of output is $27?