Question

Suppose a firm faces the production function Q=4L+12L^2-2L^3

find the maximum points of AP and MP curves

Answer 1

$Q=4L+12L^2-2L^3,$

$Q'=4+24L-6L^2,$

$Q'=0,$

$L_1=-0.16,$

$L_2=4.16,$

$MP=Q(L_1)=-0.32,$

$AP=Q(L_2)=80.32.$