Spose that the production function for ipods is q


Suppose that the production function for iPods is Q = 20K^0.5L^0.5. The marginal product of labor is 10(K/L)^0.5, and the marginal product of capital is 10(L/K)^0.5. Suppose that labor can be hired for $6, and capital can be rented for $9. If the firm has exactly $300 to spend on producing iPods, what is the maximum number of iPods it can produce?

Request for Solution File

Ask an Expert for Answer!!
Business Economics: Spose that the production function for ipods is q
Reference No:- TGS01352067

Expected delivery within 24 Hours