1.A firm’s production function is Q = 100L^.6 K^.4 The firm’s input prices are PL = $30 and PK = $40. The firm wishes to produce 2,000 units of output and minimize the cost of production. How much labor (L) and capital (K) should the firm employ? A.L=20.0, K=12.5. B.L=22.4, K=13.4. C.L=25.0, K=15.0. D.L=26.39, K=132. E.L=32.5, K = 26.2.

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The production function is given by Q 100 L K L is the number of labors a... View the full answer