Question
Supposethat a firm's production function is q=10L 0.5 K 0.5 (i.e. q = 10LK). The cost of a unit of labour is 20 and the
Supposethat a firm's production function is q=10L0.5K0.5 (i.e. q = 10LK). The cost of a unit of labour is 20 and the cost of a unit of capital is 80.The firm wants to produce 80 units of output. The marginal rate of technical substitution is K/L
The optimal level of labour required to produce 80 units of output is?
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Business Mathematics In Canada
Authors: Ernest Jerome
7th edition
978-0071091411, 71091416, 978-0070009899
