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2. You work for a company that bids on government contracts for business. (a.) If production of the specialized military equipment you produce is given
2. You work for a company that bids on government contracts for business. (a.) If production of the specialized military equipment you produce is given by q = kl with PR = 100 and p = 50, and the government is asking for q = 32 units of equipment, what is the minimum you have to charge to not take a loss? (b.) If the prices for both capital and labor double, do you have to double the minimum break-even price, or does it less or more than double? How do you know? (c.) It turns out the contract needs a quick turnover time, and you do not have time to assemble more capital. You have k = 2. How many workers I do you require? How does this change cost
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