Question

If output equals a*(5k + 2l), what is output if a equals 2,000, capital equals 10, and labor equals 100?

Answer 1

We know that: a = 2,000, c = 10, l = 100
The formula is: a * ( 5 c + 2l )
So when we charge the values:
2,000 * ( 5 * 10 + 2 * 100 ) =
= 2,000 * ( 50 + 200 ) =
= 2,000 * 250 = 500,000
Answer: The output is 500,000.