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Question 1 Company ABC produces sweaters and they have the following production function: Q =10K^0.5 L (K to the power of 0.5 and L to the power of 1) The rental rate for machinery is $200 and the cost of each unit of labor is $100. a) What's the cost minimizing amounts of labor and capital if they wish to produce 2000 sweaters? Find the cost to produce this output. b) Now suppose the wage increases to $150. Find the amounts of labor and capital needed to produce the same output as in part A