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Suppose a Production Function Is Q = K1/2L1/3 and in the Short

Question 7

Multiple Choice

Suppose a production function is q = K1/2L1/3 and in the short run capital (K) is fixed at 100.If the wage is $10 and the rental rate on capital is $20,the fixed cost is


A) $2,000
B) $200
C) $20,000
D) $0

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