Post Utme Crawford University 2020 Economics Question 32

Practice objective / multiple choice question 32 from the 2020 Post Utme Crawford University Economics examination.

Post Utme Crawford University 2020 Economics Objective / Multiple Choice
Question 32 POST_UTME_CRAWFORD_UNIVERSITY • 2020 • ECONOMICS • objective

A firm produces two goods, X and Y, u\sing two inputs, labor (L) and capital (K). The production functions are given by Qx = 10L^0.5K^0.5 and Qy = 5L^0.2K^0.8. If the firm has 100 units of labor and 50 units of capital, find the optimal allocation of labor and capital between the two goods.

Answer Options

Correct Answer A. Qx = 20, Qy = 10, L = 50, K = 25
B. Qx = 15, Qy = 12, L = 60, K = 30
C. Qx = 22, Qy = 8, L = 40, K = 20
D. Qx = 18, Qy = 11, L = 55, K = 22
Correct Answer
A
Correct Option:
Qx = 20, Qy = 10, L = 50, K = 25

About This Question

This is Post Utme Crawford University 2020 Economics Question 32. It is one of the objective questions from the 2020 Post Utme Crawford University Economics examination.

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