Question

If output is produced according to Q = 4LK, the price of K is $10, and...

If output is produced according to Q = 4LK, the price of K is $10, and the price of L is $5, then the cost minimizing combination of K and L capable of producing 2 units of output is

Business   Economics   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
If output is produced according to Q = 4LK, the price of K is $10, and...
If output is produced according to Q = 4LK, the price of K is $10, and the price of L is $40, then the cost minimizing cost minimizing combination of K and L capable of producing 64 units of output is
Output is produced according to Q= 4LK, where L is the quantity of labor input and...
Output is produced according to Q= 4LK, where L is the quantity of labor input and K is the quantity of capital input. If the price of K is $10 and the price of Lis $5, then the cost-minimizing combination of Kand L capable of producing 32 units of output is
a. A cost minimizing firm’s production is given by Q=L1/2K1/2. Suppose the desired output is Q=10....
a. A cost minimizing firm’s production is given by Q=L1/2K1/2. Suppose the desired output is Q=10. Let w=12 and r=4. What is this firm’s cost minimizing combination of K & L? What it the total cost of producing this output? b. Suppose the firm wishes to increase its output to Q=12. In the short run, the firm’s K is fixed at the amount found in (a), but L is variable. How much labor will the firm use? What will the...
A firm produces an output with the production function Q=K*L2, where Q is the number of...
A firm produces an output with the production function Q=K*L2, where Q is the number of units of output per hour when the firm uses K machines and hires L workers each hour. The marginal product for this production function are MPk =L2 and MPl = 2KL. The factor price of K is $1 and the factor price of L is $2 per hour. a. Draw an isoquant curve for Q= 64, identify at least three points on this curve....
a. A cost minimizing firm’s production is given by Q=L^(1/2)K^(1/2) . Suppose the desired output is...
a. A cost minimizing firm’s production is given by Q=L^(1/2)K^(1/2) . Suppose the desired output is Q=10. Let w=12 and r=4. What is this firm’s cost minimizing combination of K & L? What it the total cost of producing this output? b. Suppose the firm wishes to increase its output to Q=12. In the short run, the firm’s K is fixed at the amount found in (a), but L is variable. How much labor will the firm use? What will...
Consider a firm which has the following production function Q=f(L,K)=4?LK (MPL=2?(K/L) and MPK=2?(L/K). (a) If the...
Consider a firm which has the following production function Q=f(L,K)=4?LK (MPL=2?(K/L) and MPK=2?(L/K). (a) If the wage w= $4 and the rent of capital r=$1, what is the least expensive way to produce 16 units of output? (That is, what is the cost-minimizing input bundle (combination) given that Q=16?) (b) What is the minimum cost of producing 16 units? (c) Show that for any level of output Q, the minimum cost of producing Q is $Q.
20. Output for a simple production process is given by Q = K2L, where K denotes...
20. Output for a simple production process is given by Q = K2L, where K denotes capital, and L denotes labor. The price of capital is $30 per unit and capital is fixed at 5 units in the short run. The price of labor is $20 per unit. a. The total cost of producing 100 units of output is _____.b. The variable cost of producing 100 units of output is ____. 21.Determine whether the production function Q = K3/2L2 exhibits...
1. Consider the production function q=K2L0.5   a) Find the cost minimizing quantities of K and L...
1. Consider the production function q=K2L0.5   a) Find the cost minimizing quantities of K and L for q = 100, r as the price of K and w as the price of L. b) Find the cost minimizing quantities of K and L for q = 1000, r as the price of K and w as the price of L. Explain whether or not the output expansion [change from part a) to part b)] is labor saving or capital saving.
Find the cost minimizing input combinations in the following problems: - f(k, ℓ) = 4k^3 ℓ^2...
Find the cost minimizing input combinations in the following problems: - f(k, ℓ) = 4k^3 ℓ^2 , r = 2, w = 1, q = 100 - f(k, ℓ) = min{2k, 3ℓ}, r = 2, w = 3, q = 10 2. In the above question, you found the cost minimizing input combination that produces 100 units of output. Now find the cost minimizing input combination for any positive quantity of output q to obtain the firm’s conditional factor demand...
A firm produces output according to the production function. Q=sqrt(L*K) The associated marginal products are MPL...
A firm produces output according to the production function. Q=sqrt(L*K) The associated marginal products are MPL = .5*sqrt(K/L) and MPK = .5*sqrt(L/K) (a) Does this production function have increasing, decreasing, or constant marginal returns to labor? (b) Does this production function have increasing, decreasing or constant returns to scale? (c) Find the firm's short-run total cost function when K=16. The price of labor is w and the price of capital is r. (d) Find the firm's long-run total cost function...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT