Answer to Question #152749 in Economics for SM

Question

The Largo Publishing House uses 400 printers and 200 printing presses to produce
books. A printer’s wage rate is $20, and the price of a printing press is $5,000. The last
printer added 20 books to total output, while the last press added 1,000 books to total
output. Is the publishing house making the optimal input choice? Why or why not? If
not, how should the manager of Largo Publishing House adjust input usage?

Answer 1

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