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The Cobb-Douglas production function for a particular product is N(x,y) = 40x y, where x is the number of units of labor and y is
The Cobb-Douglas production function for a particular product is N(x,y) = 40x y", where x is the number of units of labor and y is the number of units of capital required to produce N(x, y) units of the product. Each unit of labor costs $40 and each unit of capital costs $100. If $500,000 is budgeted for production of the product, determine how that amount should be allocated to maximize production. Production will be maximized when using ] units of labor and ] units of capital
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