Nick runs a surfing school on the North Shore of Oahu. He has two inputs: surfboards, which he rents from a local shop for $15 per day, and surfing…

Nick runs a surfing school on the North Shore of Oahu. He has two inputs: surfboards, which he rents from a local shop for $15 per day, and surfing instructors, whom he hires for $50 per day. Nick has figured out that the marginal physical product (MPP) of the last instructor hired is 5 lessons, and the MPP of the last board used is 3 lessons.

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