1.) A firm engaged in the manufacture of RTWS faces the short-run production function Q = 250L - 5L2, where L is the number of units of labor and Q is the number of RTWS produced annually. a.) How many units of labor are needed to maximize production output? b.) Find the maximum number of RTWS that can be produced by the firm in a year. c.) Compute the marginal product of the 10th unit of labor. d.) How many RTWS can be produced by the firm in a year if there are 10 units of labor? e.) Compute the marginal product of the 40th unit of labor. 1.) How many RTWs can be produced by the firm in a year if there are 40 units of labor? g.) Sketch the graph of the production function.
1.) A firm engaged in the manufacture of RTWS faces the short-run production function Q = 250L - 5L2, where L is the number of units of labor and Q is the number of RTWS produced annually. a.) How many units of labor are needed to maximize production output? b.) Find the maximum number of RTWS that can be produced by the firm in a year. c.) Compute the marginal product of the 10th unit of labor. d.) How many RTWS can be produced by the firm in a year if there are 10 units of labor? e.) Compute the marginal product of the 40th unit of labor. 1.) How many RTWs can be produced by the firm in a year if there are 40 units of labor? g.) Sketch the graph of the production function.
Chapter10: Cost Functions
Section: Chapter Questions
Problem 10.7P
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Transcribed Image Text:1.) A firm engaged in the manufacture of RTWS faces the short-run production
function Q = 250L - 5L², where L is the number of units of labor and Q is the
number of RTWs produced annually.
a.) How many units of labor are needed to maximize production
output?
b.) Find the maximum number of RTWs that can be produced by the
firm in a year.
c.) Compute the marginal product of the 10th unit of labor.
d.) How many RTWS can be produced by the firm in a year if there are
10 units of labor?
e.) Compute the marginal product of the 40th unit of labor.
f.) How many RTWs can be produced by the firm in a year if there are
40 units of labor?
g.) Sketch the graph of the production function.
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