Suppose The Solis Company, Inc has the following total product function, where Q is output per time period and L is the number of units of labor hired:
Q = 1000L + 3L2 -.02L3
a. What will be the maximum short-run output the firm can produce?
b. At what value of input L will the MPL for this firm be at its maximum?
c. At what level of output will the firm reach the point of diminishing marginal returns to L?
d. What will be the numerical value of APL when it is at its maximum?
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a. Maximum short-run output will be ...View Answer
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