Question: Suppose a short-run production function is given as Q = 10 L + 15 L 2 L 3 where Q is output and L

Suppose a short-run production function is given as Q = 10 L + 15 L 2 – L 3 where Q is output and L is labour employed per unit of time.

( i) Derive MPL and APL schedules;

( ii) Derive MPL functions;

( iii) Find the output at which APL = MPL; and ( iv) Find L for producing 600 units of output.

(Compare your answers with figures in Table 10.1).

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