Find the cost minimizing combinations of capital and labor a firm should employ in the following cases, the total cost, and the average cost. a. Production function: q = K1/2*L1/2, q = 20, w = $10, v = $20 b. Production function: q = K1/2*L1/2, q = 20, w = $15, v = $20 c. Production function: q = K1/2*L1/2, q = 10, w = $10, v = $25
Find the cost minimizing combinations of capital and labor a firm should employ in the following cases, the total cost, and the average cost. a. Production function: q = K1/2*L1/2, q = 20, w = $10, v = $20 b. Production function: q = K1/2*L1/2, q = 20, w = $15, v = $20 c. Production function: q = K1/2*L1/2, q = 10, w = $10, v = $25
Microeconomics A Contemporary Intro
10th Edition
ISBN:9781285635101
Author:MCEACHERN
Publisher:MCEACHERN
Chapter7: Production And Cost In The Firm
Section: Chapter Questions
Problem 21PAE
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2. Find the cost minimizing combinations of capital and labor a firm should employ in the following cases, the total cost, and the average cost.
a. Production function: q = K1/2*L1/2, q = 20, w = $10, v = $20
b. Production function: q = K1/2*L1/2, q = 20, w = $15, v = $20
c. Production function: q = K1/2*L1/2, q = 10, w = $10, v = $25
d. Production function: q = K1/3*L2/3, q = 10, w = $15, v = $15
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