Imagine that the production function for tuna cans is given by q=6K+4L where q = Output...
Imagine that the production function for tuna cans is given by q=6K+4L
where
q = Output of tuna cans per hour.
K = Capital input per hour
L = Labor input per hour
a) Assuming capital is fixed a K = 6, how much L is required to produce 60 tuna cans per hour? To produce 100 per hour?
b) Now assume that capital input is fixed at K = 8 what L is required to produce 60 tuna cans per hour? To produce 100 per hour.
c) Graph the q = 60 and q = 100 isoquants. Indicate the points
found in parts a and b. What is the MRTS along the isoquants?
SHOW WORK IN EXCEL PLEASE. no hand written
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