q = f(K, L) = 2KO.2L0.8 The cost of labor is w = 1 and cost of capital is r = 0.25. How much does it cost the company to produce q = 4 units?

Q: q = AB + B2 1. Find the expressions for the cost minimizing levels of A and B. You do not have to…

A: Given: q = AB + B2 Where A is = Labor input B, is = Capital input To Find: The expression for the…

Q: Suppose the production function is q = 6L0.60K0.90. Determine the long-run capital- to-labor ratio…

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A:

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Q: The total cost of producing one unit is $100 The total cost of producing two units is $150 At a…

A: It is given that, the total cost of production of 1st unit = $100. The total cost of production when…

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A: Average Total Cost is calculated by dividing the total cost with units of output. Average Cost =…

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A:

Q: In the short run with fixed amount of at least one input, the law of diminishing returns must apply,…

A: When the one input is fixed then the firm experience diminishing returns because adding one more…

Q: Q.No.6 a. If total cost function is (6) C= C(Q) Show the relationship between marginal cost and…

A: Marginal cost refers to the additional cost of production incurred in the process of increasing…

Q: Given the production function: q(K,L) = 3K +L, r=6, w= 3. What is the total cost function, C(a)? A.…

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A: Cost of production: These are the expenses faced by a firm for producing goods and services.

Q: A firm trebles its inputs and discovers that its output rises by a factor of four. This is an…

A: Note:  We’ll answer the first question since the exact one wasn’t specified. Please submit a new…

Q: If a production function exhibits decreasing returns to scale, average cost will decrease as output…

A: Average cost is the per-unit cost of output.

Q: Consider the following cost function: C(Q)=9,300+44Q+0.025Q 2 Calculate total costs when Q=180

A: The cost function calculates the lowest possible cost of manufacturing a specified quantity of…

Q: Diseconomies of scale exists over the range of output for which the long run average cost curve is?

A: Diseconomies of scale exists over the range of output for which the long run average cost curve is…

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Q: Define the cost function c(w1,w2 ,y) =w1×1(w1,w2.y) + w2x2(w1,w2,y). Show that the cost function is…

A: Given function C(W1,W2,y)=W1X1(W1,W2,Y)+W2X2(W1,W2,Y) Here W1=first input prices W2= second input…

Q: The short run production function is q = 10*L. The wage rate is $10 per unit of labor, then AVC:

A: AVC is total cost divided by output.

Q: For the cost function C(Q) = 500+12Q+4Q2+Q3, what is the marginal cost of producing the eighth unit…

A: Cost is a function of the quantity produced.  It measures the cost incurred in the production of…

Q: If a firm's short – run total cost function is TC = 20 + 2q² then its short run average cost at…

A: Total cost (TC): - it is the sum of fixed and variable costs incurred in the production process.

Q: Consider the following information about the input choices and prices, produci the same output in…

A: Cost minimization refers to optimal usage of factors of production such that for production of a…

Q: The total cost function of a firm is:- 23Q? - 13Q + 40 Find the average cost function

A:

Q: Total cost function is given as:- 3Q4 -5Q3 + 2Q2 + 16Q Calculate the marginal cost function

A: # We know that Marginal cost is given as:- MC = change in Total Cost / Change in quantity Thus it…

Q: What is the critical point of the total cost function TC=1/3Q3+6Q2-640Q

A: Critical points are calculated by setting the derivative of a function equal to zero.

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Q: Consider the production function Q = 20K1/2L1/2. The firm operates in the short run with 20 units of…

A: d. Derive AVC(Q) Q=20K12L12Q=20x(20)12L12Q=89.44L12 APL=QL        =89.44L12L        =89.44L-12…

Q: Suppose the short run cost function can be written as TC=250 + 10Q. Average fixed cost equals A.…

A: According to the given questions The short run cost function is a function which simple word is said…

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A: ANSWER STEP-1 If A Production Function Exhibits Decreasing Returns To Scale, Then The Average…

Q: A factory that you are managing has an hourly production process that can be represented by the…

A:

Q: Consider a firm that enjoys economies of scale. • If this firm wants to produce 25% more output, it…

A: In a market, economies of scale refers to the situation when a firm is experiencing an inverse…

Q: Assume there is a linear isoquant where the input combination  K = 10, L = 0 produces Q = 100.…

A: We have Linear Isoquant, a*L+ b*K = QWhen L=0 and K = 10, Q = 100a(0) + b(10) = 100b = 10;Therefore,…

Q: what is the minimum cost of producing 1000 units of output?

A:

Q: Suppose the production function is q = 6L0.60K0.90. Determine the long-run capital- to-labor ratio…

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Q: Consider the Cobb-Douglas production function: 1. Derive the conditional input demands. 2. Derive…

A: Given  Production function: f(x1,x2)=Ax1αx212-α                ... (1) Let P1 and P2 be the input…

Q: Suppose the cost function is C(Q) = 50 + Q − 10Q2 + 2Q3. What is the marginal cost of producing 10…

A: Here, cost function is given as: C(Q) = 50 + Q − 10Q2 + 2Q3 To find: marginal cost of 10th unit.

Q: The additional cost of producing one more unit of output is calicu

A: A firms has fixed cost and variable cost. The total cost is the sum of fixed cost and variable cost.

Q: Suppose the production function for a product is given by q = 100KL. If the price of capital is $81…

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Q: Consider a firm that suffers diseconomies of scale. If this firm wants to produce half as…

A: "Diseconomies of scale occurs when each item produced cost more and more as a firm continue to grow…

Q: What is the cheapest way of producing 850 units of output if a firm operates with the production…

A: It is given that;

Q: Average variable cost and average total cost get closer as output increases because a) productivity…

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Q: When production is at level zero then the value of ___________ cost is always zero.

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Q: Determine whether each of the production functions below displays constant, increasing, or…

A: Answer in step 2.

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A: Answer to the question is as follows :