Consider an ice cream company with two stores. Each store has the same production function 2L^(0.5)* K^(0.5), where K is the number of ice cream machines and L is the number of workers. Store 1 has 4 machines, whereas Store 2 has I machine. a) If the ice cream company employs 20 workers then how many should it employ at each shop? b) Is it better to employ another worker, or purchase another ice cream machine for Store 2? Assume labour, capital, and output are perfectly divisible
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