1

.
Assume a production function Q = Ak

^{a} L

^{1-a} where Q = 100, a = 10 and = 0

.5 obtain the

total cost function C = C(v, w,Q ) supply the necessary information , such as

the equation costs

. Show how you got the result

.
2

. Suppose a demand function

Q = 2,000 – 20P and a function of the total cost C(Q)= 0

.05Q

^{2} +

12,500, with this information,answer the following, showing details as

obtained:

a

. The average variable cost

and average fixed cost

. Explain

b

. The production level that maximizes profits

.
c

. The price of the product

.
d

. The total cost

e

.
The level of earnings -related costs

.
3

.Suppose

the total cost becomes: C(Q)=

.075 + 10,000 with this information, answer the

following,showing details as obtained:

a

. What changes occurred

in the total cost? Show components in detail

.
b

. The production level

that maximizes profits

.
c

. The price of the

product

.
d

. The total cost

e

. The level of earnings

-related costs

.