Question

discuss the conditions under which a mining firm can realise maximum present value of its while extracting with constant marginal cost?​

Answer 1

Answer:

The mining firm can realize the maximum present value of its rent while extracting is because the natural resources are scarce, there is an economic return to the resources itself. The returns needs to take care of the intermediate input costs, labor costs, and the opportunity cost of capital invested in the business.

I hope it will help you ✌️..

Answer 2

Answer:

Search Results

Featured snippet from the web

The mining firm can realize the maximum present value of its rent while extracting is because the natural resources are scarce, there is an economic return to the resources itself. The returns needs to take care of the intermediate input costs, labor costs, and the opportunity cost of capital invested in the business.Mar 7, 2020

follow me on instagram @itsmepurvahere