$30 and wage rate Let the production function be given by: q = 10(L^2)K, with rental rate v = w = $20. 1. How much K and L are employed to produce 11, 250 units of output? 2. Suppose that the firm wants to increase output to 19, 440 units of output, now how much Kand Lare employed to produce with minimize cost? 3. Suppose that in the short run the amount of capital is fixed at K = 10, what is the firm short run fixed cost? 4.Suppose that in the short run the amount

$30 and wage rate Let the production function be given by: q = 10(L^2)K, with rental rate v = w = $20. 1. How much K and L are employed to produce 11, 250 units of output? 2. Suppose that the firm wants to increase output to 19, 440 units of output, now how much Kand Lare employed to produce with minimize cost? 3. Suppose that in the short run the amount of capital is fixed at K = 10, what is the firm short run fixed cost? 4.Suppose that in the short run the amount

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter10: Cost Functions

Section: Chapter Questions

Problem 10.3P

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