Question: need help for question 1d QUESTION 1. The QuickBuild Company builds houses (Q) in the Lower Mainland. It combines capital (K) and labour (L) in

need help for question 1d

QUESTION 1. The QuickBuild Company builds houses (Q) in the Lower Mainland. It combines capital (K) and labour (L) in its production function in the following way: Q(K,L) = K13L 173 Labour cost: w = $8 Capital rental cost: v = $8 1A. What do we call this form of production function? 1B. According to its production function, what returns to scale does QuickBuild enjoy? Demonstrate. What happens to output when QuickBuild doubles the amount of capital and labour used? 1C. QuickBuild wants to build 12 homes. What is its cost-minimizing choice of Capital and Labour? (Hint: What is the objective function? What is the constraint?) 1D. Write out QuickBuild's cost equation. How much does it cost QuickBuild to build the 12 homes

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