Refer to the Following:
a Short-Run Production Function Was Estimated $Q = - 0.002 L ^ { 3 } + 0.16 L ^ { 2 }$

question 23

Multiple Choice

Refer to the following:
A short-run production function was estimated as

$Q = - 0.002 L ^ { 3 } + 0.16 L ^ { 2 }$
-At what level of labor usage does the maximum average product occur?

• A) 20
• B) 30
• C) 40
• D) 50
• E) 60

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Definitions:

Conservative Debt Securities

Investments in fixed-income securities that are considered low risk, typically issued by government entities or stable corporations.

Prudent Person

A legal standard used to represent the hypothetical individual who exercises average care, skill, and judgment in decision-making, serving as a comparative standard in legal and financial fields.

Discretionary Investment Power

The authority given to a person or entity to make investment decisions on behalf of another without needing express consent for each decision.

Conservative Debt Securities

Investment vehicles such as bonds or debentures that are considered lower-risk due to stable income features and the issuer's strong financial position.