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Following Is a Firm's Expansion Path \quad \quad \quad

Question 49

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Following is a firm's expansion path.The price of capital is $5 per unit; the price of labor is $2 per unit. \quad \quad \quad \quad \quad \quad \quad \quad  Ontimal Input Choice \text { Ontimal Input Choice }
Units of Output102030Units of Capital6813Units of Labor51020\begin{array}{c}\begin{array}{c}\text {Units of Output}\\10\\20\\30\end{array}\begin{array}{c}\text {Units of Capital}\\6\\8\\13\end{array}\begin{array}{c}\text {Units of Labor}\\5\\10\\20\end{array}\end{array}

When output is 20 units,what is long-run average cost?


A) $2
B) $3.50
C) $4
D) $4.50
E) none of the above

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