Post Utme Mountain Top University 2019 Economics Question 17
Practice objective / multiple choice question 17 from the 2019 Post Utme Mountain Top University Economics examination.
A firm is considering two production techno\logies: a traditional techno\logy with a production function Q = 100K^\( 1/2 \)L^\( 1/2 \) and a modern techno\logy with a production function Q = 200K^\( 1/2 \)L^\( 1/2 \). The price of capital is ₦100 per unit and the price of labor is ₦50 per unit. If the firm's objective is to maximize profits, which techno\logy should it choose?
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About This Question
This is Post Utme Mountain Top University 2019 Economics Question 17. It is one of the objective questions from the 2019 Post Utme Mountain Top University Economics examination.
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