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{"ops":[{"insert":"5.\tConsider Ajax company Ltd with an amount of $2400 to spend on two inputs, labour (L) and capital (K). the cost of labour and capital are $4 and $3 per unit respectively. If the firm production function takes the form Q = 2L"},{"attributes":{"script":"super"},"insert":"0 .5"},{"insert":"K"},{"attributes":{"script":"super"},"insert":"0 .5"},{"insert":"\r\na.\tDerive the demand function for labour and capital. \r\nb.\tWhat quantities of labour and capital should the firm buy in order to maximize output? \r\n\n"}]}
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