production function question - The production function for the personal computers of DISK Inc. is given by Q= 10 (K L)0.5. DISK's competitor FLOPPY Inc's production function is Q = 10K0.6 L0.4. (a) If K is limited to 9 units, in which company MP of labor greater? (b) What can you say about the MP of labor for a given K?

Cost minimization using Lagrangian - Please provide me with detailed explanations and solutions. A firm wants to minimize cost subject to its production function. Its labor cost is 10$ per person-hours and the user cost of capital is 3%. The firm wants to produce 50 units of output with the following production function 2K0.5L0.5. Use the Lagrangian function to derive how many units of capita...

Production function, Cost Function, MC, AC - You manage a plant the mass produces engines by teams of workers using assembly machines. The technology is summarized by the production: q = 5KL Where q is the number of engines per week, K is the number of assembly machines and L is the number of labor teams. Each assembly machine rents for r = 10,000$ per week and each team costs w = 5,000$ per...

Cost Function - TC = 100 + 40Q - 15Q(squared) + 5Q (to the third power), calculate the a. average fixed cost function (AFC) b. average variable cost function (AVC) c. marginal cost function (MC) Draw a diagram with all three curves plotted on it.

Principles of microeconomics - You have been hired by an unprofitable firm to determine wheter it should shut down its unprofitable operation.The daily wage(per worker)is 100$and the price of the firm's output is 30$.The cost of other variable input is 500$per day.Although you don't know the firm fixed cost, you know thatit is high enough that the firm's total cost exceedsits total revenue.