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A firm produces output according to the production function:
Q = F(K, L) = 4K + 8L.
Question a. How much output is produced when K = 2 and L = 3?
Question b. If the wage rate is $60 per hour and the rental rate on capital is $20 per hour, what is the cost-minimizing input mix for producing 32 units of output?
Question c. If the wage rate decreases to $20 per hour but the rental rate on capital remains at $20 per hour, what is the cost-minimizing input mix for producing 32 units of output?
Compute the break-even point in dollar sales for April. Prepare contribution format income statements for April. Prepare contribution format income statements
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