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Question: 1. A firm faces the demand schedule p = 650 - 3q and the production function q = 4K0.5L0.5 and has to pay £8 per unit to buy L. If K is fixed at 4 units how much L should the firm use if it wishes to maximize profits?
2. If a firm operates with the total cost function TC = 4 + 10(9 + q2)0.5, what is its marginal cost when q is 4?
3. Given the production function q = (6K0.5 + 0.5L0.5)0.3, find MPL when K is 16 and L is 576.
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Normal 0 false false false EN-US X-NONE X-NONE The consumption function is ..
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