Consider a firm that hires quantities x1 and x2 of inputs one and two, at prices w1 and w2. The production function is given by f(x1, x2) = x1x2.

1.1 Does the firm's technology exhibits constant, decreasing, or increasing returns to scale?

1.2 Form the cost-minimization problem for this firm, find the associated first-order conditions, and the conditional demand functions.

1.3 Find the cost function for this firm.

1.4 Indicate whether this firm exhibits increasing, decreasing, or constant average total cost.