Question

Consider the Cobb-Douglas production function Q = K0.25Lβ What is the capital (K) required for output level of 500 units given the number of workers (L) is 100? Interpret the result and what this result mean for the business organization?

Answer 1

Answer:

{eq}Max Q(k,l)=30K^{0.3}L^{0.7}\\s.t\,\,\,5K+4L=100 {/eq}