Problem 8. The figure shows the relationship between the number of mechanics hired and thenumber of car repairs performed per day at a car-repair shop. a. The economic relationship depicted on the graph is called?b. What is the marginal product of the third mechanic?c. If the shop charges $150 per repair, then what is the value of the marginal product of thesecond mechanic?d. If the shop charges $150 per repair and pays each of its mechanics a wage of $700 perday, then what is the marginal profit of the second mechanic?e. Suppose the shop charges $125 per repair. Over what interval of wages, W, would theshop maximize its profit by hiring exactly 4 mechanics? (Determine W1 and W2 such that W1
