Calculate the firms short-run average cost function

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Reference no: EM13180803

A firm producing hockey sticks has a production function given by Y= $2\sqrt{KL}$ in the short-run, the firm's amount of capital equipment is fixed at K = 100. The rental-rate of capital is $1, and the wage rate is $4.

(a) Derive the firm's short-run total cost function in terms of output.

(b) Calculate the firm's short-run average cost function (SRATC).

(d) Graph the firm's SRATC and SRMC curve.

(e) Derive the firm's long-run total cost function in terms of output.

Reference no: EM13180803

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