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Suppose a Firm's Short-Run Production Function Is Given by Q

Question 61

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Suppose a firm's short-run production function is given by Q = 3ÖL,where L represents the number of hours of labour employed.The firm has a sunk cost of $500 and the wage rate is $18 per hour.What is the firm's short-run cost function? Solve the production function for L:

Correct Answer:

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Q = 3ÖL
Q2 = 9L
Q2/9 =...

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