A firm has two variable factors and a production function f(x1, x2) = 6x1/21X21/3. The price of its output is 3, the price of factor 1 is 3, and the price of factor 2 is 2. – What is the optimal production output level? – What is the maximum profit-level?

A firm has two variable factors and a production function f(x1, x2) = 6x1/21X21/3. The price of its output is 3, the price of factor 1 is 3, and the price of factor 2 is 2. – What is the optimal production output level? – What is the maximum profit-level?

Survey Of Economics

10th Edition

ISBN:9781337111522

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter6: Proudction Costs

Section: Chapter Questions

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Question

A firm has two variable factors and a production
function f(x1, x2) = 6x^1/2₁X₂^1/3. The price of its output is 3, the price of factor 1 is 3, and the price
of factor 2 is 2.
– What is the optimal production output level?
– What is the maximum profit-level?

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