Scenario: Victoria Corp

Scenario: Victoria Corp. makes running shoes by employing a robotics technology that requires at most a few, but highly skilled, workers for monitoring and maintenance of the robots. Each robot costs $240,000. The table below shows the marginal product of capital (MPK) per month when the firm employs one worker versus when it employs two workers. Each pair of Victoria shoes sells for $150.

-Refer to the scenario above.If the wage is $40,000 per month per worker,should the firm hire one worker or two workers?

A) One worker, because one worker costs less than two workers
B) One worker, because the firm's maximum profit will be higher than it would be for hiring two
C) Two workers, because two workers generate more revenue
D) Two workers, because the firm's maximum profit will be higher than it would be hiring one