draw the firm’s isocost line.

Suppose a firm can spend up to $1000 acquiring two variable inputs, labor (L) and capital (K). The price of each unit of labor is $25. The price of each unit of capital is $100.

a. draw the firm’s isocost line.

b. suppose the firm had $2000; draw the new isocost line.

c. suppose the firm had $500; draw the new isocost line.

 
"Looking for a Similar Assignment? Get Expert Help at an Amazing Discount!"