1. Suppose the production function of a firm is given as: Q = SL + 10L2 – 213 a. Find the number of labors that would yield maximum values of TP, AP. and MP? b. Base on the results on "a". provide a range of values that would reflect the three stages of production.

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F. None of the above 4) Please indicate whether the following production function has the characteristic of CRS, IRS and DRS. (b) F(K, L)=[aKP +(1-a)Le ]1/e, (1>a>0, 1>p) 1. CRS 2. IRS 3. DRS 4. None of the above

What is the parameter in the production function in the following equation? F(K,N)=K N' ® OA. N O B. F OC. K OD. a

Hannah and Sam run Moretown Makeovers, a home remodeling business. The number of square feet they can remodel in a week is described by the Cobb-Douglas production function             Q=F(L,K)              Q=10L^0.25 K^0.25             where L is their number of workers and K is units of capital. The wage rate is $500 per week and a unit of capital costs $500 per week. Suppose that when initially producing 10 square feet a week, they use 1 unit of capital.a. What is their short-run cost of remodeling 80 square feet per week?    Instructions: Round your answer to the nearest whole number.    $ b. What is their short-run average cost of remodeling 80 square feet per week?    Instructions: Round your answer to the nearest whole number.    $ c. What is their long-run cost of remodeling 80 square feet per week?    Instructions: Round your answer to the nearest whole number.    $ d. What is their long-run average cost of remodeling 80 square feet per week?    Instructions: Round your answer…

Suppose a firm’s production function is ? = ?2?. a) Determine the labor and capital demand functions. b) Are capital and labor normal or inferior inputs in this production process?

The law of diminishing marginal returns states: Select one: a. As a firm uses more of a variable factor of production, total product (TP) eventually decreases. b. As the size of a plant increases, marginal product (MP) eventually decreases. c. As a firm uses more of a variable factor of production, its average cost (AC) eventually decreases. d. As a firm uses more of a variable factor of production, with a given quantity of the fixed factor of production, the MP of the variable factor eventually decreases.