Hi, I am not sure how to work out which is correct:

A perfectly competitive firm has two production techniques to convert labour into output. In the first technique, the production function is given by 1 (1 ) = 1 1 2 , and in the second one it is given by 2 (2 ) = 2 2 1 2 . The total cost function (, ) of the producer gives the minimal expenditure required to produce a given total amount of of the output (i.e., 1 + 2 = ) at input price .

a) The firm's conditional demand for 2 is twice as large as the conditional demand for 1.

b) If the price of the good per unit is 100 and the labour costs 10 per unit then the firm supplies 25 units of the good.

c) The firm cannot be maximising profit because such an output level does not exist.

d) The firm will not supply output if the price of the good falls below 20.