Merlin builds tables that she will sell for $200 per table. Her fixed costs for building the table is $1,000. Each table costs her $50 for the raw materials and $25 for each previous table made that day, which shows Merlin's increasing exhaustion. So, it means that the first table will cost her $50, the second table will cost $75, and so on... How many tables should merlin produce each day (Consider the nearest whole number)? 6 tables 7 tables 9 tables 10 tables

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
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Chapter1: Making Economics Decisions
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Merlin builds tables that she will sell for
$200 per table. Her fixed costs for building
the table is $1,000. Each table costs her $50
for the raw materials and $25 for each
previous table made that day, which shows
Merlin's increasing exhaustion. So, it means
that the first table will cost her $50, the
second table will cost $75, and so on... How
many tables should merlin produce each
day (Consider the nearest whole number)?
6 tables
7 tables
tables
10 tables
Transcribed Image Text:Merlin builds tables that she will sell for $200 per table. Her fixed costs for building the table is $1,000. Each table costs her $50 for the raw materials and $25 for each previous table made that day, which shows Merlin's increasing exhaustion. So, it means that the first table will cost her $50, the second table will cost $75, and so on... How many tables should merlin produce each day (Consider the nearest whole number)? 6 tables 7 tables tables 10 tables
Suppose there are only two individuals A
and B in the economy with utility function
of first individual given as U(A) = In(x1) +
y12, and utility function of second person
given as, U(B) = x2^0.5 + In(y2). Which of
the following provides for the equation of
contract curve.
In(x1) + y12 = x2^0.5 + In(y2)
yl/y2 = x^20.5/x1
x2^0.5/2 x1 = y2/y1
x1/x2 = y1/y2
Transcribed Image Text:Suppose there are only two individuals A and B in the economy with utility function of first individual given as U(A) = In(x1) + y12, and utility function of second person given as, U(B) = x2^0.5 + In(y2). Which of the following provides for the equation of contract curve. In(x1) + y12 = x2^0.5 + In(y2) yl/y2 = x^20.5/x1 x2^0.5/2 x1 = y2/y1 x1/x2 = y1/y2
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