What is optimal allocation of steel between the two plants

Assignment Help Business Economics

Reference no: EM131074906

Enpar manufactures engine parts for an automotive manufacturer. It operates two plants, A and B, which have the following production functions: QA = 30SA – 0.25SA2 and QB = 40SB – 0.5SB2, where QA and QB denote the outputs of engine parts from each plant and SA and SB denote the amounts of steel used in each plant. Suppose that total steel availability is 30 units. What is the optimal allocation of steel between the two plants?

Reference no: EM131074906

Questions Cloud

Compare the responsibilities of local and state governments : Compare and contrast the responsibilities of local, state, and federal governments under the National Response Framework. Use specific examples to illustrate the responsibilities of the different levels of government.

Find the speed of the train : A train leaving town X for town Y at dawn is to arrive at its destination 300km away, traveling at 72km/hr, find the speed of the train in m/s

Economies and dis-economies of scale are demonstrated : Economies and dis-economies of scale are demonstrated by the slope of the long-run average cost curve. Discuss the causes of economies and dis-economies of scale and diagram the appropriate areas on a long-run (with appropriate short-run) cost curve.

Demonstrate the equilibrium solution for the monopsonist : A monopsony firm will not pay as much for factors of production as will a firm in a competitive market for inputs. Graphically, demonstrate the equilibrium solution for the monopsonist and explain why this is different than the competitive solution.

What is optimal allocation of steel between the two plants : Enpar manufactures engine parts for an automotive manufacturer. It operates two plants, A and B, which have the following production functions: QA = 30SA – 0.25SA2 and QB = 40SB – 0.5SB2, where QA and QB denote the outputs of engine parts from each p..

Bank developed model for predicting the average checking : A bank developed a model for predicting the average checking and savings account balance as balance = -17,732 + 367 X age + 1,300 X years education + 0.116 X household wealth. Explain how to interpret the numbers in this model.

Why japan changing in late tokugawa and early meiji periods : What do you think Fukuzawa's autobiography reveals about how and why Japan was changing in the late Tokugawa and early Meiji periods? Support your argument with specific examples from the text.

What is business process management : What personal knowledge management tools does this organization utilize? What steps has this organization taken in securing their information and knowledge?

How much money must be set aside in the trust : In his will, a man wishes to establish a perpetual trust to provide for the maintenance of a small local park. If the annual maintenance is dollar 7500 per year and the trust account can earn 5% interest, how much money must be set aside in the trust..

User Account

All Pages