Question
A firm has the following Cobb-Douglas production function: Q = 20K1/4L3/4 Capital is currently fixed at 81 units. What is the marginal product of labor
A firm has the following Cobb-Douglas production function:
Q = 20K1/4L3/4
Capital is currently fixed at 81 units.
What is the marginal product of labor of the 200thworker? (Round to the nearest whole number)
Refer to the Cobb-Douglas production function above.
What is the average product of capital (remember, this is fixed at 81 units) if the firm is hiring 200 workers? (Round to the nearest whole number)
Refer to the Cobb-Douglas production function above.
If capital is fixed at 81 units, the price of your output is $8, and workers are paid a wage of $72, what is the optimal number of workers to hire?
Refer to the Cobb-Douglas production function above.
If capital is fixed at 81 units, you have hired 256 workers, and labor costs $72 per unit and capital costs $15 a unit, what is the average total cost to produce at this level? (Round to the nearest whole number)
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