Question: Suppose that a firm's production function is (, ) = 3 + 7, and input x is fixed in the short-run at = 200 units.

Suppose that a firm's production function is (, ) = 3 + 7, and input x is fixed in the short-run at = 200 units. Assume the input prices are = 12, p = 5. Write down a formula for the firm's short-run cost function (). Then, calculate the firm's long-run cost function and compare the two.

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