Question
Y5 video game developer hires two types of workers to develop games: game coders (x1x1) and game testers (x2x2). The developer produces games according to
Y5
video game developer hires two types of workers to develop games: game coders (x1x1) and game testers (x2x2). The developer produces games according to the following production function: y=x1^1/2 x2^1/2 where yy stands for the number of games developed per month, and x1x1 and x2x2 stand for, respectively, the number of programmers and testers hired per month. Because both
Part 1(3 points)
Suppose the game developer has already contracted to hire 36 game testers this month. Because of contracting rules, no more testers can be hired until next month. Let 11 be the monthly salary of a game programmer, and 22 be the monthly salary of a game tester. The short-run cost function for the firm is: Choose one:
A. c=(y36)21+362c=(y36)21+362
B. c=(y6)21+362c=(y6)21+362
C. c=(y36)22+62c=(y36)22+62
D. c=(y6)21+62c=(y6)21+62
Part 2(1 point)
See Hint
Let 1=1= 2400, and 2=2= 1900. The total cost of producing 12 games is how much $?
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