Determine the amount of composite commodities, Microeconomics

a)  Joan's utility function can roughly be estimated as :

U = 60Q13/4 Q22/3

She chooses from two composite commodities Q1 and Q2 whose prices per unit are kshs 20 and Kshs 15 respectively. He has Kshs 6000 to spend on the two commodities.  Determine the amount of each commodity that he should buy so as to maximize her utility.

b) Joan would like to minimise her expenditure subject to her enjoying 480 utils of   utility. Determine the amount of Q1 and Q2 she should buy so as to achieve her objective.

Posted Date: 3/8/2013 5:34:09 AM | Location : United States







Related Discussions:- Determine the amount of composite commodities, Assignment Help, Ask Question on Determine the amount of composite commodities, Get Answer, Expert's Help, Determine the amount of composite commodities Discussions

Write discussion on Determine the amount of composite commodities
Your posts are moderated
Related Questions
What is Modern Economics? Modern Economics: Modern economics mostly developed within last sixty years, methodically studies individuals’ economic behavior as well as econo

Question 1: A good internal transport network is a sine-qua-non condition for development. What are the problems of the transport sector? Question 2: ICT has a defin

Joe is the owner-operator of Joe’s Haircuts Unlimited. Last year he earned $100,000 in total revenues and paid $65,000 to his employees and suppliers. During the course

what monopoly market .


Lab Exercise 1. Taco Del Mar has completed a study of weekly demand for its tacos in Washington State's regional markets.  The study developed the following demand function: Q =

"In U.S., there is a culture of greeting people of the same sex. It's not common that people give attention to the people of the opposite sex. However, in the middle class, it's a


Problem 1: a) Explain the different types of unemployment that exist. b) Critically examine how monetary policy can be used to deal with inflation. c) Critically examine

Economies and Diseconomies of Scale -Economies of Scale Increase in the output is greater than increase in the inputs. -Diseconomies of Scale Increase in the