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Firm uses 15 units of k, price of k=400 per unit price of good=100: wage per worker =40,000
L Q
1 800
2 1900
3 2700
4 3350
5 3775
6 4100
A. does this represents the SR OR LR? Explain
b. what is the optimal number of workers this firm will hire?
c. what are profits at this number of workers?
d. is the underlying total cost curve for this firm quadratic or cubic? explain?
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