# jnu 2012 doubts! Classic List Threaded 8 messages Open this post in threaded view
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## jnu 2012 doubts!

 If someone could please help me the correct way to solve questions 70-75 and 88-92 in the 2012 paper?? Also in q 70 shouldnt the principal sum be given that is deposited in the fd account???so according to me the correct answer should be option (D).please confirm...
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## Re: jnu 2012 doubts!

 sol for 88-92 it is given that the value of each cow's production is V(n) for 1 cow it is 22 rs for 2 cows it is 18+18=36 rs n so on sol 88. for max profit MR=MC at n=4 the profit max condition is satisfied (we have to take descrete units) each cows production value is 12 and mc=11. sol 89. we have to max the difference between TR and TC for n=1 TR-TC= 22-11=11 for n=2 TR-TC=18+18-22=14 for n=3 TR-TC=15+15+15-33=12 chek for all values of n so n=2 sol 90. in equilibrium 4 cows will be purchased TR-TC=12*4-11*4=4 sol 91. cnt undrstand sol 92. after tax total cost will be 21 per cow so only 1 cow will be purchased. tax revenue is rs 10 Akshay Jain Masters in Economics Delhi School of Economics 2013-15
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## Re: jnu 2012 doubts!

 THANK U SO MUCH AKSHAY JAIN!!
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## Re: jnu 2012 doubts!

 for 91 n.v(n)-n(11+t) >0 since the number of cows that maximises the village's aggregate income is 2 we have 2(18)-2(11+t)>0 so we get t<7 hence i guess t=6 should be the correct answer
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## Re: jnu 2012 doubts!

 In reply to this post by taanya for 91 n.v(n)-n(11+t) >0 since the number of cows that maximises the village's aggregate income is 2 we have 2(18)-2(11+t)>0 so we get t<7 hence i guess t=6 should be the correct answer
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## Re: jnu 2012 doubts!

 In reply to this post by taanya I think that the logic is this for 91(b) You have to make sure that the total number of villagers end up buying 2 cows. Thus, MC=MR holds when 11+t is roughly equal to 18 (MR of 2 cows). This happens at t=7. but at t=7, aggregate income of village = 36 - (11+7)x2 = 0 for t = 6, they buy 2 cows, and agg income = 2 then for t = 0, individuals end up buying 4 cows instead. t=11 means MC=22 by individual. thus only 1 cow is bought. so condition is not satisfied for t<6. say t=5, MC= 16 and t=4, MC falls even further thereby increasing number of cows grazed. for 6MR for n = 2 (so not applicable) anything beyond t>11, no cow is bought. Thus only t=6 is possible.