Consider the following information for a T-shirt manufacturing firm that can sell as many T-shirts as it wants for $3 per shirt.

a. Fill in all the blanks in the table.

b. Verify that MRPL for this firm can be calculated in two ways:
(1) change in TR from adding another worker and (2) MPL times the price of output.

c. If this firm must pay a wage rate of $40 per worker per day, how many workers should it hire? Briefly explain why.

d. Suppose the wage rate rises to $50 per worker. How many workers should be hired now? Why?

e. Suppose the firm adopts a new technology that doubles output at each level of employment and the price of shirts remains at $3. What is the effect of this new technology on MPL and on MRPL? At a wage of $50, how many workers should the firm hire now?