Problem Set #4 Solutions: Production and Cost Analysis

is your total production. You face wage rate equal to $15 per hour and a cost of capital equal to $1,920 per unit. You have 1 unit of capital and that can’t be changed. a) You are currently employing 8 hours of labor. Calculate your Total costs, Average cost and marginal cost. TC $1920 1 $15 8 $2,040 ................
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