Question: 1a. A firm is producing output using one variable factor of production. The firm's production function is y = 8x 1/2 . The price of

1a. A firm is producing output using one variable factor of production. The firm's production function is y = 8x^1/2 . The price of the output is $24 and the price of input is $8 per unit. How many units of the input should the firm use?

1b. A firm produces a Viagra knockoff called Tryagra. The firm's production function is f(x) = 4x^1/2 . The price of each Tryagra pill is $60, and the cost of input x is $10 per unit. How much profit does the firm make if it maximises profits?

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