Problem five

You are a manager for Herman Miller, a major manufacturer of office furniture. You recently hired an economist to work with engineering and operations experts to estimate that production function for a particular line of office chairs. The report from these experts indicates that the relevant production function is:

1 1 1 F L = 2L292 = F L = 6123 VZ * 400 = 120 => 120VL = 1200 => VL = 10 => L = 100