A Competitive Firm's Production Function Is F(x₁, X₂)= 8x^1/2₁ +8x^1/2₂

question 5

Multiple Choice

A competitive firm's production function is f(x₁, x₂) = 8x^1/2₁ +8x^1/2₂.The price of factor 1 is $1 and the price of factor 2 is $3.The price of output is $6.What is the profit-maximizing quantity of output?

• A)256
• B)512
• C)252
• D)516
• E)244

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