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The owner of a car wash is trying to decide on the number of people to employ based on the following short-run production function: Q = 6L – 0.5L2 Where Q = Number of car washers per hour L = Number of workers a. Generate a schedule showing total product, average product, and marginal product, Plot this schedule on a graph. b. Suppose the price of basic car wash (no undercoating, no waxing treatment, etc) in his area of business is $5. How many people should he hire if he pays each worker $6/hour? c. Suppose he considers hiring students on a part-time base for $4/hour. Do you think he should hire more workers at this lower rate? Explain.
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