- This topic has 1 reply, 2 voices, and was last updated 11 months ago by
John Moffat.
John Moffat.-
Posts
-
mandana1366
- Topics: 8
- Replies: 4
- ☆
Hello
in this question why the correct answer is A?The shadow price of skilled labour for CBV is currently $8 per hour.
What does this mean?
A. Contribution will be increased by $8 per hour for each extra hour of skilled labour that can be obtained
B. The cost of obtaining additional skilled labour resources is $8 per hour
C. Total costs will be reduced by $8 for each additional hour of skilled labour that can be obtained
D. There is a hidden cost of $8 for each hour of skilled labour actively worked
John Moffat
- Topics: 57
- Replies: 49583
- ☆☆☆☆☆
‘A’ is the standard way that the shadow price is always calculated.
Do watch my free lectures on linear programming where I do explain this, with examples.
The lectures are a complete free course for Paper PM and cover everything needed to be able to pass the exam well.
mandana1366
John Moffat- You must be logged in to reply to this topic.