A firm achieves least cost in production by substituting factors until

a

their factor prices are equal

b

their marginal-physical products are each equal to their factor prices

c

their marginal-physical products are each zero

d

the ratio of their marginal-physical products equals the ratio of their prices

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Correct Option
c

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Discussions (2)

Handsome01
12 years ago

Ans D

Deepthinker581
4 years ago

I really don't know to prove this point
But I suggest the answer as D

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