The table below gives combinations of silage and grain (inpu…
The table below gives combinations of silage and grain (inputs) that will produce 20,000 pounds of milk per year (output). Ration Number Grain (lbs.) Silage (lbs.) Substitution Ratio 1 4,000 11,628 XXX 2 4,500 9,880 3.50 3 5,000 8,322 3.12 4 5,500 6,935 2.77 5 6,000 5,700 2.47 6 6,500 4,598 2.20 If grain costs $0.15/lb and silage costs $0.06/lb, what is the least-cost combination of grain and silage for the feed ration?
Read DetailsYou have a 5-acre organic farm that produces vegetables to s…
You have a 5-acre organic farm that produces vegetables to sell at the local farmer’s market. You pay a local high school student $12 an hour to help you, mainly with weeding. You need to decide how to allocate your employee’s time to maximize profits. Below is a table showing the marginal value product of each successive hour of weeding for two crops. Hours weeding Beets Potatoes First hour $20 $24 Second hour $15 $22 Third hour $10 $19 Fourth hour $5 $14 If the employee can work for up to 4 hours, how should those hours be spent to maximize the farm’s profit?
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