How much labor and capital firm hire to minimize cost, Microeconomics

+44 141 628 6080
[email protected]

How much labor and capital firm hire to minimize cost

Suppose a firm's production function is given by Q = L^1/2*K^1/2. The Marginal Product of Labor and the Marginal Product of Capital are given by:

MPL = (K^1/2)/(2L^1/2), and MPK= (L^1/2)/(2K^1/2) .

a) If the price of labor is w = 36, and the price of capital is r = 64, how much labor and capital should the firm hire in order to minimize the cost of production if the firm wants to produce output Q = 24?

b) What is the firm's Total Cost function TC(Q)?

c) What is the firm's marginal cost of production?

View Complete Question

Request for Solution File

Ask an Expert for Answer!!

Microeconomics: How much labor and capital firm hire to minimize cost

Reference No:- TGS0515238

Expected delivery within 24 Hours

Have a Question? (oR Write a Review)

Write atleast 100 words!!

Recent Questions Asked Microeconomics

Q : What organizational design principles will you consider

In a paper of at least 6 - 8 pages (excluding title and references pages), describe how you would go about analyzing the organizational hierarchy to make recommendations about which managerial positions should be cut. What organizational design pr

Q : What fiscal policies and monetary policies be appropriate

Find the "current macroeconomic situation" in U.S. (e.g. is U.S. economy currently concerned about unemployment, inflation, recession, etc.)?

Q : What promotional activities might prince use to reach

What might Prince do to help it gain distribution and sales in (a) mass merchandisers like Target and Walmart and (b) specialty tennis shops?

Q : Schedule for the opportunity assessment

Revise your schedule for the opportunity assessment to be prepared for the meeting . You will not have access to any other resources; though, you might be capable to negotiate the resources to be available for more than 20 hours this week and next.

Q : How much labor and capital firm hire to minimize cost

If price of labor is w = 36, and price of capital is r = 64, how much labor and capital should firm hire to minimize cost of production if firm wants to produce output Q = 24?

Q : Search and determination of alternatives

In this assignment, you will research and analyze the buying process for an online product or service, with which you (as a consumer) are familiar, from a business point of view.

Q : Role of the fasb in monitoring and controlling business

Describe the role of the FASB in monitoring and controlling business reporting and accounting practices in the modern organization. In what ways do FASB rules limit business practices and reporting financial information?

Q : Conceptual framework-statements of financial accounting

The FASB's Conceptual Framework and Statements of Financial Accounting Standards (SFASs) require full disclosures to be made in a business enterprise's financial statements.

Q : What happen to market price as move from short to long run

If market price of the product is 270, how much output should firm produce to maximize profit? How much profit will this firm make?

1956248

Questions
Asked

3,689

Active Tutors

1420861

Questions
Answered

Start Excelling in your courses, Ask a tutor for help and get answers for your problems !!

ask Question

Request for Solution File

Ask an Expert for Answer!!

Microeconomics: How much labor and capital firm hire to minimize cost

Reference No:- TGS0515238

Have a Question? (oR Write a Review)

Recent Questions Asked Microeconomics

Q : What organizational design principles will you consider

Q : What fiscal policies and monetary policies be appropriate

Q : What promotional activities might prince use to reach

Q : Schedule for the opportunity assessment

Q : How much labor and capital firm hire to minimize cost

Q : Search and determination of alternatives

Q : Role of the fasb in monitoring and controlling business

Q : Conceptual framework-statements of financial accounting

Q : What happen to market price as move from short to long run

Criterion that has good construct validity

Why period of adolescence and early adulthood mark important

How verbal altercation be the challenging classroom behavior

Why five dollar bill may not be reinforcing for young child

Problem concerning the positive reinforcement

Discussion about empirically unfounded hypothesis

What are your strongest and weakest traits obtained

Request for Solution File

Ask an Expert for Answer!!

Microeconomics: How much labor and capital firm hire to minimize cost

Reference No:- TGS0515238

Recent Questions Asked Microeconomics

Q : What organizational design principles will you consider

Q : What fiscal policies and monetary policies be appropriate

Q : What promotional activities might prince use to reach

Q : Schedule for the opportunity assessment

Q : How much labor and capital firm hire to minimize cost

Q : Search and determination of alternatives

Q : Role of the fasb in monitoring and controlling business

Q : Conceptual framework-statements of financial accounting

Q : What happen to market price as move from short to long run

Asked Questions