Author Question: The cost of two inputs A and B are 100 and 200 per unit per month. A firm can afford to invest ... (Read 38 times)

darbym82 · **on:** Jun 30, 2018

The cost of two inputs A and B are 100 and 200 per unit per month. A firm can afford to invest 10,000 per month on these inputs. The firm uses 30 units of A. Given a linear isocost such that the entire budget is exhausted, the firm will use 10 units of B.
Indicate whether the statement is true or false

Question 2

A firm's accounting profit is always equal to or greater than its economic profit.
a. True
b. False
Indicate whether the statement is true or false