Determining optimal production level

Reference no: EM1371775

1. The production function to build a playground swing is:

Q = 15 + 8L - 0.6L2

Where:

Q is the total number of swings built in an hour

L is the labor of one worker

If it costs $10 per hour for a laborer and each swing is sold for $20 and there are no material costs, how many laborers should you hire?

How many swings will the company produce per hour at optimal labor input?

What is the company's hourly profit at optimal labor input?

2. Given the following Total Cost curve:

TC = 200 + 50Q + 2Q2

What is the Marginal Cost?

What is the Average Cost?

What is the optimal production level where production costs are the lowest per unit?

Reference no: EM1371775

Questions Cloud

Marginal physical product of labor : Use the following information for a company's output at various levels of employment to compute: its marginal physical product of labor schedule; its schedule,

Relationship between ap and mp : Explain the relationship between AP and MP. Be sure to use graphs to help support your answer. Calculate the MP and the AP for each worker

Sketch er diagram to keep track of employees and projects : Sketch ER diagram for the following situation and write any assumptions you think you have to make to develop a complete diagram. Company requires the operational database to keep track of all employees, departments, and projects.

Steady state level of capital : Suppose that the rate of depreciation as well as the rate of saving are each .10. Also assume that there is no technological nor population growth.

Determining optimal production level : What is the Marginal Cost? What is the Average Cost? What is the optimal production level where production costs are the lowest per unit?

Ddefinition of poverty : Everyone thinks there is a problem with the United State poverty figures. The conservatives think so: The Heritage Foundation calls the figures, A Soviet-style disinformation campaign.

Write a program learn multiplication : Write a program which will help the elementary school student learn multiplication. Use Random object to produce two positive one-digit integers.

Develop production function : An economist for the widget company estimated following short term production function. Compute the AP and MP mathematically and identify the three stages.

Strategic human resources management implications : Explain how have society and workplaces changed and what are strategic human resources management implications of these changes for organizations?

User Account

All Pages