The production function is f (L, M) = 5 , where L is the number of units of labor and M is the number of machines. If the amounts of both factors can be varied and if the cost of labor is $9 per unit and the cost of using machines is $64 per machine, then the total cost of producing 12 units of output is
A) $438.
B) $108.
C) $576.
D) $115.20.
E) $57.60.

Question

The production function is f (L, M) = 5  , where L is the number of units of labor and M is the number of machines. If the amounts of both factors can be varied and if the cost of labor is $9 per unit and the cost of using machines is $64 per machine, then the total cost of producing 12 units of output is
A) $438. 
B) $108. 
C) $576. 
D) $115.20. 
E) $57.60.

Quizplus · Accepted Answer

The Answer of The production function is f (L, M) = 5  , where L is the number of units of labor and M is the number of machines. If the amounts of both factors can be varied and if the cost of labor is $9 per unit and the cost of using machines is $64 per machine, then the total cost of producing 12 units of output is
A) $438. 
B) $108. 
C) $576. 
D) $115.20. 
E) $57.60.

The Production Function Is F (L, M) = 5