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A firm can manufacture a product according to the following production function, Q = 6K1/2 L1/2...

A firm can manufacture a product according to the following production function, Q = 6K1/2 L1/2 and the Marginal Product of Labor is MP(L) = 3 K1/2 L-1/2. Recall that VMP(L) = w.

Suppose that capital is fixed at 25 units. If the firm can sell its output at $100 per unit and employs 49 units of labor, how much should it pay its labor to maximize profits?

Using the information in (a), assume that you pay $5/unit for capital. Can you, given the information at hand, determine total profits?

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