QUESTION 5 Suppose that a firm's production function is given by F(K,L) = KZL 2 ", in which case the marginal product of capital and labor are given by MPK = and MPL = K N /- NI - respectively. On which 2 K 2L isoquant line does the production level determined by (K, L) = (4, 16) fall, and what is the slope of the isoquant line, or marginal rate of technical substitution, at that point? O It falls on the isoquant line determined by a production level of q = 8, and the slope of the isoquant line at this point is It falls on the isoquant line determined by a production level of q = 8, and the slope of the isoquant line at this point is NI - It falls on the isoquant line determined by a production level of q = 8, and the slope of the isoquant line at this point is 4. O It falls on the isoquant line determined by a production level of q =8, and the slope of the isoquant line at this point is - 2.QUESTION 6 Suppose that a firm's production function is given as in Question 5. What is the interpretation of the marginal rate of technical substitution at (K,L) = (4, 16)? O In order to maintain the current output level, then reducing the amount of capital used by 4 unit would require an additional 1 unit of labor. O In order to maintain the current output level, then reducing the amount of capital used by 2 unit would require an additional 1 unit of labor. O In order to maintain the current output level, then reducing the amount of capital used by 1 unit would require an additional 2 units of labor. O In order to maintain the current output level, then reducing the amount of capital used by 1 unit would require an additional 4 units of labor