The following table shows the relationship between output

Question

Q1. Following are different algebraic expressions of the production function. Decide whether each one has constant, increasing, or decreasing return to scale.

a. Q = 75L^0.5L^0.75

b. Q = 75A^0.15B^0.4C^0.45

c. Q=100+50L+50K

d. Q=L²+50K²

Q2. The following table shows the relationship between output and number of workers in the short run. If the wage is $50/day, find the marginal cost of production.

Number of Workers	Output
0	0
1	50
2	110
3	300
4	450
5	590
6	665
7	700
8	725
9	740
10	735

Q3. For each of the following cost functions, find MC, AC, and AVC.

a. TC = 20,000 + 10 Q

b. TC = 18,000 + Q + 0.2 Q²