Multiple Choice
A firm's production function is given by . The marginal products of labor and capital are, respectively, and . Further, the wage rate is and the rental rate of capital is . Suppose the firm wants to produce 27,000 units of output. What is the most efficient combination of labor and capital ?
A) (20, 20)
B) (30, 30)
C) (30, 90)
D) (90, 30)
Correct Answer:

Verified
Correct Answer:
Verified
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