題組內容

2. Suppose that the production P depends on the amount L of labor used and the amount K of capital invested,615bbfff8e265.jpg for some constant a, 0 < a < 1. Assume that the cost of a unit of labor is 20 thousand dollars and the cost of a unit capital is 50 thousand dollars. If a company can spend C thousand dollars as its budget, then the company seeks the maximum production subject to the constraint 20L + 50K = C.

(b) Compute615bc06d50818.jpg, and C = 1000.