The Good'n'Fresh Grocery Store has 2 checkout lanes and 4 employees. Employees are equally skilled, and all are able either to operat a register (checkers) or bag groceries (baggers). The store owner assigns 1 checker an d1 bagger to each lane. A lane with a checker and a baggers can check out 42 customers per hour. A lane with a checker can check out only 25 customers per hour. (LO3).

a) In terms of customers checked out per hour, what is total output and average labor productivity for the Good'n'Fresh Grocery store?

b) The owner adds a third checkout lane and register.Assuming that no employees are added, what it the best way to reallocate the workers to tasks? What is total output and average labor productivity (in terms of customers checked out per hour) now?

c) Repeat part b for the addition of a fourth checkout lane, and a fifth. Do you observe diminishing returns to capital in this example