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Scenario 1 A rm has the following production function: f[-E1K) :E%K% Which means they have the following marginal product of labor: 1 MPE = %(%)E
Scenario 1 A rm has the following production function: f[-E1K) :E%K% Which means they have the following marginal product of labor: 1 MPE = %(%)E Suppose the rm has E units of K {capital}, that labor costs $13 per hour. capital cost $1" per unit, and each unit of output can be sold for Sp. Question 1 4 pts Refer to Scenario 1. Suppose: K =2,5Ei 1;: =14 :r :41 p :30 How many workers (units of labor) should the rm employ in the short run? (Round to nearest hundredth}
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