Question
A manufacturer has modeled its yearly production function P (the monetary value of its entire production in millions of dollars) as a Cobb-Douglas function P(L,
A manufacturer has modeled its yearly production function P (the monetary value of its entire production in millions of dollars) as a Cobb-Douglas function P(L, K) = 1.47L0.65K0.35
where L is the number of labor hours (in thousands) and K is the invested capital (in millions of dollars). Find P(130, 35)and interpret it. (Round your answers to one decimal place.) P(130, 35) =____________ , so when the manufacturer invests $ ___________ million in capital _____________ and thousand hours of labor are completed yearly, the monetary value of the production is about $______________ million.
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