Question: Suppose the production function is given by Q = 4K1/2L1/2, and capital is fixed at 16. If the firm can sell its output at $20

Suppose the production function is given by Q = 4K1/2L1/2, and capital is fixed at 16. If the firm can sell its output at $20 per unit and hire labor at $30 per unit, how many labor should the firm hire to maximize profit?

144

36

81

None of the answers are correct.

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