Consider a competitive firm that produces two specific goods. The firm's cost function for the two goods is denoted as follows: C (91-92) = 3912+3 9₂² be the quantity of good 1 produced and 92 the quantity of good 2 produced. Assume good 1 is priced at 60 dollars and good 2 is price at 18. where dollars Find the quantities produced of each good to maximize the firm's profit. Round to two decimal places, if necessary. 91- 92 Number Number What is the profit of the firm after producing the ideal amount? Round to two decimal places, if necessary Number Now check the second order conditions The Hessian is sin (a) Or ⠀⠀⠀ 00 12

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Consider a competitive firm that produces two specific goods. The firm's cost function for the two goods is denoted as follows:
C (91-92) -3912+3 92²
where gj be the quantity of good 1 produced and 92 the quantity of good 2 produced. Assume good 1 is priced at 60 dollars and good 2 is price at 18
dollars
Find the quantities produced of each good to maximize the firm's profit. Round to two decimal places, if necessary.
91= Number
92 Number
What is the profit of the firm after producing the ideal amount? Round to two decimal places, if necessary
Number
Now check the second order conditions
The Hessian is
sin (a)
f
Ox
a 12
E
Transcribed Image Text:Consider a competitive firm that produces two specific goods. The firm's cost function for the two goods is denoted as follows: C (91-92) -3912+3 92² where gj be the quantity of good 1 produced and 92 the quantity of good 2 produced. Assume good 1 is priced at 60 dollars and good 2 is price at 18 dollars Find the quantities produced of each good to maximize the firm's profit. Round to two decimal places, if necessary. 91= Number 92 Number What is the profit of the firm after producing the ideal amount? Round to two decimal places, if necessary Number Now check the second order conditions The Hessian is sin (a) f Ox a 12 E
The principal minors are H₁
ab
sin (a)
sin (a)
8
di
0
f
dr
Therefore the Hessian is t
f
positive definite
negative definite
indefinite
8
Click for List
a S2
a 52
and
Click for List
E
and H₂ =
Transcribed Image Text:The principal minors are H₁ ab sin (a) sin (a) 8 di 0 f dr Therefore the Hessian is t f positive definite negative definite indefinite 8 Click for List a S2 a 52 and Click for List E and H₂ =
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