Multiple Choice
The production function for a competitive firm is Q = K.5L.5.The firm sells its output at a price of $10,and can hire labor at a wage of $5.Capital is fixed at 25 units.The profit-maximizing quantity of labor is:
A) 1.
B) 2.
C) 10.
D) None of the answers are correct.
Correct Answer:
Verified
Correct Answer:
Verified
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