Solutions to Chapter 7 Assignments
To see if K = 1.58 and L = 6.32 are the cost minimizing levels of inputs, consider small changes in K and L. around 1.58 and 6.32. At K = 1.6 and L = 6.32, total cost is $381.60, and at K = 1.58 and L = 6.4, total cost is $381.6, both greater than $379.20. We have found the cost-minimizing levels of K and L. 2. ................
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