Business, 26.03.2021 17:10 lukeperry

Consider a ski resort which uses capital K (mountains, ski lifts, lodges, etc.) and labor L (ski instructors, rental shop employees, kitchen staff, etc.) to accomodate q skiers per day according to the production function q = f(L, K) = (Krho + L rho ) 1 rho where 0 < rho ≤ 1. (1) Given the ski resort wants to accomodate q skiers at the minimum possible cost, solve for L ∗ (q) and K (q) in terms of wages w and the price of capital r.(2) Write down the problem the ski resort solves to find the levels of K and L that minimize cost. What two equations are used to solve it?(3) Suppose w = 1, r = 4, Find L(q) and K(q) for q = 500, q = 1000, and q = 2000. Plot these point on a graph and then sketch the expansion curve (4) For the same w = 1, r = 4, what is the ski resort's cost function C(q)? Graph it.

Answers: 3

Show answers

Another question on Business

Business, 22.06.2019 10:50

Jen left a job paying $75,000 per year to start her own florist shop in a building she owns. the market value of the building is $120,000. she pays $35,000 per year for flowers and other supplies, and has a bank account that pays 5 percent interest. what is the economic cost of jen's business?

Answers: 3

Answer

Business, 22.06.2019 12:10

This exercise illustrates that poor quality can affect schedules and costs. a manufacturing process has 130 customer orders to fill. each order requires one component part that is purchased from a supplier. however, typically, 3% of the components are identified as defective, and the components can be assumed to be independent. (a) if the manufacturer stocks 130 components, what is the probability that the 130 orders can be filled without reordering components? (b) if the manufacturer stocks 132 components, what is the probability that the 130 orders can be filled without reordering components? (c) if the manufacturer stocks 135 components, what is the probability that the 130 orders can be filled without reordering components?

Answers: 3

Answer

Business, 22.06.2019 14:00

Which of the following is not a characteristic of a weak economy? a. a low employment rateb. a high inflation ratec. a decreased gdpd. a high unemployment rate

Answers: 1

Answer

Business, 22.06.2019 17:30

Dr. sperry, a biologist, is using excel to track growth rates of different populations of bacteria. she has a very complex formula in one cell. it begins with “round”. dr. sperry would like to see exactly how excel’s calculation reached the final rounded value that she sees in the cell. what could dr. sperry do to best understand how the calculation was made? try different formulas on her own until she reaches the value shown in excel click on the evaluate formula button in the formulas tab and then click “step in” select the cell and then look at the formula in the formula field of the ribbon remove “round” from the formula in order to see the actual value before rounding

Answers: 2

Answer

You know the right answer?

Consider a ski resort which uses capital K (mountains, ski lifts, lodges, etc.) and labor L (ski ins...

Questions