A profit maximizing firm produces output using capital, K, and labour, L, in the following production technology: Y = 2*K^0.5*L^0.5 The cost function of the firm is: C = w*L + r*K where r=1.3. You are told that the firm employs L = 49 workers. Find the optimal capital stock, K*. (State your answer to 2 decimal places.)

Q: Question 13 Consider a firm whose cost function when both L and K are variable is shown in the…

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Q: Consider a firm whose production function is f(L,K)=ALaKb. Denote by APL(L,K)=f(L,K)/L the so-called…

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Q: QUESTION 1 For the production function Qs = K0.6L0.5 in the short run, where capital is at 307 find…

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Q: Question 10 Consider a firm whose cost function when both L and K are variable is shown in the…

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Q: Consider the following Cobb-Douglas production function: Y = 10L04K04. Suppose that the price of…

A:

Q: The equation below is a production function,Q = (200)L + (100)K – (0.2)L2 – (0.1)K2     , where Q is…

A: Q = (200)L + (100)K – (0.2)L2 – (0.1)K2

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A:

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Q: Question 32 Consider a firm with production function f(L,K)=3L1/3K2/3. Assume that capital is fixed…

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Q: QUESTION 8 Consider the production function F(A,K) = A*In(K), where A = 3 is a constant. What is the…

A: