A firm is operating under perfect competition in both product and factor markets, with labour being the sole variable factor input. In the diagram, line JK indicates the link between the marginal physical product of labour and the man hours hired. How many man-hours will the firm hire if the price of the product is $1.60 and the hourly wage is $3.20?
- A1000
- B2000
- C3000
- D4000