Post Utme Summit University 2021 Economics Question 20
Practice objective / multiple choice question 20 from the 2021 Post Utme Summit University Economics examination.
Consider a firm that produces two goods, X and Y, with the following production functions: X = 2L + 3K and Y = 4L + 2K. The firm's objective is to maximize profits, which are given by π = 10X + 20Y - 100L - 50K. Assuming that the firm has a budget constraint of 1000, which is given by 2L + 3K = 1000, find the optimal values of L and K that maximize profits.
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About This Question
This is Post Utme Summit University 2021 Economics Question 20. It is one of the objective questions from the 2021 Post Utme Summit University Economics examination.
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