For part 1 of the question, you can choice more than one or more. Thank you.

03 Question (2 points) e See page 383 A music production company uses composers (input 1) and computers with artificial intelligence (input 2) to compose songs. The market for composers and the market for artificially intelligent computers are both competitive markets. As such, the music production company can hire as many composers as it wants at a constant daily rate per composer of @1, and it can rent as many computers as it wants at a constant daily rental cost per computer of @2 . Assume that @1 > 0 and @2 > 0.Part 1 (1 pt) Q See Hint Suppose the company produces songs using a Cobb-Douglas production function. Specically, the number of songs produced is described by the production function _ 1121/2 Yx1x2 where y stands for the daily number of songs composed, x1 stands for the daily number of composers hired, and x2 stands for the daily number of computers rented. Which of the following statements are correct? Choose one or more: A. The slope of the isocost curves is constant. B. The slope of the isocost curve will depend on how much of each input the rm uses. C. The isocost curves are downward sloping. D. If the rm chose x1 > 0 and x2 = 0, the isocost level would be zero dollars because no songs would be produced with these inputs given the Cobb- Douglas production function. Part 2 (1 pt) Q See Hint Suppose instead that composers and computers are perfect substitutes, so that the production function is y = x1 + x2. Which of the following statements is correct? Choose one: A. With this type of technology, the isocost curves would be vertical (using input 1 on the horizontal axis and input 2 on the vertical axis). B. If the only difference is the production function, the isocost curves will be steeper than in the initial case (using input 1 on the horizontal axis and input 2 on the vertical axis). C. With this type of technology, the isocost curves would be horizontal (using input 1 on the horizontal axis and input 2 on the vertical axis). D. If the only difference is the production function, the isocost curves will be identical to the initial case