A competitive firm’s production function is Q = 5 + 20L - .5L2 + 40K – K2, and its demand function is PQ = MRQ = d = $6. The prices of L and K are PL = $6 and PK = $12. Find the profit-maximizing and cost minimizing amounts of L and K to employ. A.L= 10; K =15. B.L= 12; K =16. C.L= 13; K =18. D.L= 16; K =14. E.L= 19; K =19.

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Consider the profit function of the firm is given below A PQ P L L ... View the full answer