Suppose a firm has a production function q = f(L,K) = 3L + 2K, and the factor prices are w = $3 and r = $3. If the firm wants to produce 60 units at the minimum cost possible, how much would it cost to produce those 60 units? (hint: remember perfect substitute technology yields corner solutions for L and K). O $60 O $90 O $120 O $30 O $150

Suppose a firm has a production function q = f(L,K) = 3L + 2K, and the factor prices are w = $3 and r = $3. If the firm wants to produce 60 units at the minimum cost possible, how much would it cost to produce those 60 units? (hint: remember perfect substitute technology yields corner solutions for L and K). O $60 O $90 O $120 O $30 O $150

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter10: Cost Functions

Section: Chapter Questions

Problem 10.3P

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