Question
A firms production function is Q = 0 + 6L + 5L2 - .2L3 + 3K + 2K2- .2K3. The firm is currently producing output
A firm’s production function is Q = 0 + 6L + 5L2 - .2L3 + 3K + 2K2- .2K3. The firm is currently producing output with a fixed amount of capital K =10. It hires labor with a wage rate of PL = Wage = 120. Suppose the firm is currently employing 10 units of L along with 10 units of K. The marginal cost of production is?
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Mathematics for Economics and Business
Authors: Ian Jacques
9th edition
129219166X, 9781292191706 , 978-1292191669
