the production function is Q = 16K0.75 L1.25. Given that price of capital is EC$32 and...
the production function is Q = 16K0.75 L1.25. Given that price of capital is EC$32 and the MRTS is K = 2L a) what is the price of labour b) if the desired output is 8,500 units, how many units of capital and labour will be used the subject is managerial economics
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the production function is Q = 16K0.75 L1.25. Given that price
of capital is EC$32 and...
The production function is Q = 16K0.75 L1.25. Given that the price of capital is EC$32...
The production function is Q = 16K0.75 L1.25. Given that the price of capital is EC$32 and the MRTS is K = 2L a) What is the price of labour? b) If the desired output is 8,500 units, how many units of capital and labour will be used?
The production function is Q = 16K0.75 L1.25. Given that the price of capital is EC$32...
The production function is Q = 16K0.75 L1.25. Given that the price of capital is EC$32 and the MRTS is K = 2L a) What is the price of labour? b) If the desired output is 8,500 units, how many units of capital and labour will be used?
Derive the cost function associated with the production function in questions 2 is C(q) = 4...
Derive the cost function associated with the production function
in questions 2 is C(q) = 4 + 2q and in questions 3 is
C=wL+rK=1*8+2*4=16. The cost function is of the general form C(Q) =
xQ. What is the value of x?
2. The inverse market demand function is given by P()-20 q. Would consumers prefer to face a monopolist in this market with a cost function given by C(g)4+ 2q, or a perfectly competitive firm with a cost function given...
Suppose a production function is given by F(K, L) = KL2 ; the price of capital is $10 and the price of labor is $15. Wha...
Suppose a production function is given by F(K, L) = KL2 ; the price of capital is $10 and the price of labor is $15. What combination of labor and capital minimizes the cost of producing any output? To produce a given level of output q, how many units of L and K are needed? Express the optimal inputs choices L(q) and K(q) as functions of the level of output q
Suppose the production function for a firm is given by: q=2L +4K. If the firm currently...
Suppose the production function for a firm is given by: q=2L +4K. If the firm currently has 20 units of capital (K) and 10 units of labor (L), then calculate the Marginal Rate of Technical Substitution (MRTS). (Round to the nearest two decimal places if necessary.) Answer:
Suppose the production function for a firm is given by: q-2L *4K. If the firm currently...
Suppose the production function for a firm is given by: q-2L *4K. If the firm currently has 20 units of capital (K) and 10 units of labor (L), then calculate the Marginal Rate of Technical Substitution (MRTSx) (Round to the nearest fwo decimal places if necessary) Answer Suppose the production function for a firm is given by: q-4L K 25 If the firm currently has 20 units of capital (K) and 10 units of labor (L), then calculate the Marginal...
Given production function Q=f(K, L) = 8KL + √L where K is capital and L is labor.
Given production function Q=f(K, L) = 8KL + √L where K is capital and L is labor. a. Find marginal product of labor and marginal product of capital.b. Define what is marginal rate of technical substitution, MRTS. Calculate the MRTS for the above case.c. When K = 10, L = 16, what is the total output? Sketch this isoquant function on a diagram where K is the vertical axis and L is the horizontal axis.
George produces computer software (user friendly). His firm's production function is Q = 1K + 2L,...
George produces computer software (user friendly). His firm's production function is Q = 1K + 2L, where Q is the programs, K is capital employed, and L is the labour used. If George faces factor prices of Pk=1 and Pl =1, the cheapest way to produce Q = 60 is: Part 1: By using how many units of capital? Part 2: By using how many units of labour? If George faces factor prices of Pk=2 and Pl=6, the cheapest way...
The production process used 2 inputs: Labor (L) and Capital (K). The production function is Q...
The production process used 2 inputs: Labor (L) and Capital (K). The production function is Q = min{2L,K} , the price of L is $3 and the price of K is $6. What's the minimum cost that the firm has to pay to produce 8 units?___
Output for a simple production process is given by Q = 2KL, where K denotes capital,...
Output for a simple production process is given by Q = 2KL, where K denotes capital, and L denotes labour. The price of capital is $25 per unit and capital is fixed at 8 units in the short run. The price of labour is $5 per unit. What is the total cost of producing 80 units of output? Numeric Answer:
Derive the cost function associated with the production function
in questions 2 is C(q) = 4 + 2q and in questions 3 is
C=wL+rK=1*8+2*4=16. The cost function is of the general form C(Q) =
xQ. What is the value of x?
2. The inverse market demand function is given by P()-20 q. Would consumers prefer to face a monopolist in this market with a cost function given by C(g)4+ 2q, or a perfectly competitive firm with a cost function given...
Suppose the production function for a firm is given by: q=2L +4K. If the firm currently has 20 units of capital (K) and 10 units of labor (L), then calculate the Marginal Rate of Technical Substitution (MRTS). (Round to the nearest two decimal places if necessary.) Answer:
Suppose the production function for a firm is given by: q-2L *4K. If the firm currently has 20 units of capital (K) and 10 units of labor (L), then calculate the Marginal Rate of Technical Substitution (MRTSx) (Round to the nearest fwo decimal places if necessary) Answer Suppose the production function for a firm is given by: q-4L K 25 If the firm currently has 20 units of capital (K) and 10 units of labor (L), then calculate the Marginal...
Output for a simple production process is given by Q = 2KL, where K denotes capital, and L denotes labour. The price of capital is $25 per unit and capital is fixed at 8 units in the short run. The price of labour is $5 per unit. What is the total cost of producing 80 units of output? Numeric Answer:
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