wetzelb3850 wetzelb3850

09-04-2024
Business

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In the short run, K is fixed at 625 units, but XYZ Corp can freely adjust labor. Calculate the short-run cost-function when the rental rate of capital is 2, and the wage rate is 7.
a) C(Q) = 2Q + 625
b) C(Q) = 7Q + 625
c) C(Q) = 2Q + 4375
d) C(Q) = 7Q + 4375

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