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Question
Sarah's Pretzel Plant produces pretzels according to the function y(K, L) = 100
. K is the number of ovens, and L is the number of labor hours Sarah uses to produce her pretzels. At the moment, Sarah uses 9 ovens. Also, she plans to hire 64 labor hours. Sarah can sell each unit of pretzels produced for $3.50. Fill in the table below. If Sarah increased her use of labor hours to 65, would the value of the marginal product of labor exceed the wage rate of $8.50?| y(9, L) | L | MPL =  |
$3.50  MPL |
| 64 | |||
| 65 |
Answer
This answer is hidden. It contains 238 characters.
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