5. You are employed as a research and development manager for a production company. The chief executive officer of the company has asked you to generate costing data to better assist in expansionary planning for the company. You are required to generate costs data from the equation below. C(y) = 23y2 + 12y + 8 assume 10 < y ≤ 30 Calculate each cost for (a)-(f) in terms of $ values based on your selected (y) and provide a graphical representation of all cost curves from (a)-(f) on one graph. Please note that the graph need not to be drawn to scale but all curves should be labeled clearly. (a) variable costs; (b) fixed costs; (c) average variable costs; (d) average fixed costs; (e) average total cost; (f) marginal costs.
5. You are employed as a research and development manager for a production company. The chief executive officer of the company has asked you to generate costing data to better assist in expansionary
planning for the company. You are required to generate costs data from the equation below. C(y) = 23y2 + 12y + 8 assume 10 < y ≤ 30
Calculate each cost for (a)-(f) in terms of $ values based on your selected (y) and provide a graphical representation of all cost
(a) variable costs;
(b) fixed
(c) average variable
(d) average fixed costs;
(e)
(f) marginal costs.
6. Optimize the Cobb-Douglas production function given the following parameters. The maximum about of money available to spend is $1, 600 where the price of K = 12 and the price of L = 6. That is Pk = 12 and Pl = 6. The function is given as q = K0.4L0.6. Using the Lagrangian method, what are the optimal values of K0 and L0?
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