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Suppose that the production function for Hannah and Sam's home remodeling business is Q = F ( L , K ) Q = 10 L
Suppose that the production function for Hannah and Sam's home remodeling business is Q = F(L,K) Q = 10L0.1K0.4. Assume the wage rate is $8,000 per week and the cost of renting a unit of capital is $5,000 per week. a. What is the least-cost input combination for remodeling 200 square feet each week? b. What is the total cost?
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