Question: Stuck on these review problems. Please help. 1. Consider a firm producing widgets using capital and labor. The graph below illustrates the isoquant for producing
Stuck on these review problems. Please help.

1. Consider a firm producing widgets using capital and labor. The graph below illustrates the isoquant for producing 10 widgets, the firm's total expenditure line, and the cost minimizing combination of capital and labor used to produce 10 widgets given the wage and cost of capital. K q=10 a. Suppose the wage (w) is $10 and the cost of capital (v) is $15. What is the average total cost of producing 10 widgets when they are produced in the leastcost way? (5) b. Still using w=$10 and v=$15, what is the Rate of Technical Substitution at the point K=6 and L=8? How do you know? (5) c. Suppose that, at K=6 and L=8, the marginal product of labor is 20. Continue using w=$10 and v=$15. What is the marginal product of capital at this point? How do you know? (5) d. Suppose the wage rises to $15. Draw a new total expenditure line representing the least-cost way of producing q=10, based on this new wage and the original cost of capital (v=$15). How will the new leastcost method of producing q1O change now that the wage has changed
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