The firm owned by Enzo "Adadas" has a production function which can be described as: F(R,L)= min{8R,18L}, where R is rubber and L is labour. The firm produces athletic gear for the feeble.

Enzo has received and order for 115 goods. The cost of Rubber and Labour are Pr=4.25 and Pl=3.75.

a) [3 points] what is the cost minimizing quantity of Labour needed?

b) [3 points] what is the cost minimizing quantity of Rubber needed?

c) [4 points] if the quantity of Rubber was fixed at 95, what would be the cost minimizing quantity of Labour needed to produce 115 goods? Would Enzo be in a situation to produce such goods?

NOTE: show all your work