A firm producing cars

Economics Feb 06, 2022

A firm producing cars. The production function for shoes (Q) is: Q = K12 L'12 where K is capital and L is labor. The price of K is $8 and the price of L is $2. f. What is the minimum cost of producing 144 cars? g. Now suppose that firm is faced with the same problem as in (e and f) except that firm has a fixed amount of K. In fact, K = 16. How much L should be employed to minimize costs, and what is the total cost.