![marianesabrinap20](/avatars/45608.jpg)
marianesabrinap20
12.03.2021 •
Business
Sometimes, we are interested in the rate at which the MRTS diminishes. That is, does the slope of the isoquant flatten out quickly or slowly as the capital is replaced with labor? This is measured by the elasticity of substitution σ which is the percent change in the ratio K/L per a percent change in the MRTS:
σ = (dK/L /dMRTS) (MRTS/ K/L)
The problem consider the constant elasticity of substitution production function
q = (L^rho + K^rho )^1/rho
Let rho = 1/2 and rho be any arbitrary constant less than one.
Required:
a. Explain what it means if σ is large and what it means if σ is small.
b. Calculate the MRTS of the constant elasticity of substitution production function.
c. Solve for K/L in terms of the MRTS.
Solved
Show answers
More tips
- F Food and Cooking 10 Tips for Proper Sushi Consumption...
- H Health and Medicine Want to Lose Weight? Gain Muscle without Damaging Your Health!...
- F Family and Home Parquet or laminate, which is better?...
- L Leisure and Entertainment How to Properly Wind Fishing Line onto a Reel?...
- L Leisure and Entertainment How to Make a Paper Boat in Simple Steps...
- T Travel and tourism Maldives Adventures: What is the Best Season to Visit the Luxurious Beaches?...
- H Health and Medicine Kinesiology: What is it and How Does it Work?...
- O Other How to Choose the Best Answer to Your Question on The Grand Question ?...
- L Leisure and Entertainment History of International Women s Day: When Did the Celebration of March 8th Begin?...
- S Style and Beauty Intimate Haircut: The Reasons, Popularity, and Risks...
Answers on questions: Business
- B Business a plan that will enable an organization to make the best use of its resources to meet its objectives is called a...
- B Business Jelaaskan dan bagaimana anda ambil kebijakan perdagangan nasional jika anda sebagai mentri luar negdri...
- B Business 1. Calculate the economic order quantity EOQ for hard plastic? 2. calculate the total annual cost for hard plastic? 3. evaluate touchdown sports inc s decision to use...
- B Business Czy centaur chcial zagladzic jazona...
- B Business Scalable flexible and adaptable operational capabilities are included in...
- B Business WarningDue in less than 1 hour Question Mode Fill in the Blank Question Fill in the blank question. Suppose you have $30 to spend on tacos each week. When the price of...
- B Business Physical Units Method, Relative Sales-Value-at-Split-off Method, Net Realizable Value Method, Decision Making Sonimad Sawmill, Inc. (SSI), purchases logs from independent...
- B Business Suppose that Greece and Denmark both produce fish and stained glass. Greece s opportunity cost of producing a pane of stained glass is 4 pounds of fish while Denmark...
- M Mathematics If x=36 and Y=4, how many of the following are rational numbers?...
- E English Which of these words could be used to describe something that is empty? O A. Resilient O O O B. Complacent C. Vacuous D. Virulent SUBMIT...
Ответ:
EXPLANATION:
Dhaliwal Digital categorizes its accounts receivable into three age groups for purposes of estimating its allowance for uncollectible accounts. 1. Accounts not yet due $285,000; estimated uncollectible 5 % . 2. Accounts 1-45 days past due $39,600; estimated uncollectible 10 % 3. Accounts more than 45 days past due $15,800; estimated uncollectible 15 % Before recording any adjustments, Dhaliwal has a debit balance of $71,100 in its allowance for uncollectible accounts. Required: 1. Estimate the appropriate 12/31/2021 balance for Dhaliwal's allowance for uncollectible accounts. 2. What journal entry should Dhaliwal record to adjust its allowance for uncollectible accounts? Required 1 Required 2 Estimate the appropriate 12/31/2021 balance for Dhaliwal's allowance for uncollectible accounts. Balance in allowance for uncollectible accounts Required 2
Dhallwal Digital categorizes its accounts receivable into three age groups for purposes of estimating its allowance for uncollectible accounts. 1. Accounts not yet due $285,000; estimated uncollectible 5 %. 2. Accounts 1-45 days past due $39,600; estimated uncollectible 10 %. 3. Accounts more than 45 days past due $15,800; estimated uncollectible 15 % Before recording any adjustments, Dhaliwal has a debit balance of $71,100 in its allowance for uncollectible accounts. Required: 1. Estimate the appropriate 12/31/2021 balance for Dhalwal's allowance for uncollectible accounts. 2. What journal entry should Dhallwal record to adjust its allowance for uncollectible accounts? Required 1| Required 2 What journal entry should Dhaliwal record to adjust its allowance for uncollectible accounts? (If no entry is required for a transaction/event, select "No jounal entry required" in the first account field.) View transaction list Journal entry worksheet Record the adjustment to allowance for uncollectible accounts. Note: Enter debits before credits. Event General Journal Debit Credit Record entry Clear entry View general journal