Cost Module ECON 1. A company produces brass figures which require a mixture of copper and zinc in a fixed proportion. The production function is given by f(x;2)=mim(x1,2x2l, where x1 represents the amount of copper and x2 the amount of zinc. a. Represent a typical iso-quant for this production function: b. What kind of returns to scale does this function exhibit? c. If the company wanted to produce 10 figures: c1. How many units of copper would be needed?l C2. How many units of zinc would be needed? d. If the price of both inputs is 51, what would be the cheapest possible way to produce 10 gures? How much would it cost? e. If the input prices were w1 and w2. e1. What would be the cheapest cost to produce 10 units? E2. What would be the cheapest cost to produce Y units? 2. A company uses workers (L) and machines (M) as production inputs. Its production function i5_;L(L, M} = 5L1/2M1/2. The cost of each worker is $45 and that of a machine is $5. M: 5(M)1/2 6f(L,M) = 5(L)1/2 6L 5? 8' 6M 2M If the company wants to minimize its costs, what would be the number of machines that it would use per worker? b. To produce 45 units at the lowest possible cost: C. b1. How many workers would you use? b2. How many machines would you use? iii. b3. What would be the total cost? What would be the cost of producing a quantity y of units