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Production function , profit maximization
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Jinx
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Production function , profit maximization
A firm has a production function Q=4√x and q is qty. Of output and input respectively. And price of output is 80 per unit and price of input is 20 per unit, then what will be the maximum profit that firm can earn?
soimmoi
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Re: Production function , profit maximization
didn't get your question
is this question from some entrance exam
Amit Goyal
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Re: Production function , profit maximization
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by Jinx
Maximize 80(4√x) - 20 x with respect to x, and you will get
x = 64
Consequently, Q = 32.
Jinx
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Re: Production function , profit maximization
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by soimmoi
Yes. I found it in sample paper
Jinx
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Re: Production function , profit maximization
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by Amit Goyal
Thank you sir. I got it.
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