5. A firm currently produces its desired level of output. Its marginal product of labor is 400, its marginal product of capital is 1,000, the wage rate is $20 and the rental rate of capital is $100. In this case, the firm should: a. employ more capital and more labor. b. employ less labor and less capital. c. employ less labor and more capital. d. employ less capital and more labor. e. not change its allocation of capital and labor
+1
Answers (1)
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “5. A firm currently produces its desired level of output. Its marginal product of labor is 400, its marginal product of capital is 1,000, ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Home » Business » 5. A firm currently produces its desired level of output. Its marginal product of labor is 400, its marginal product of capital is 1,000, the wage rate is $20 and the rental rate of capital is $100. In this case, the firm should: a.