Asked by Lissette Castaneda on Jun 27, 2024
Verified
Use the following data to answer the question: Inputs of Labor Total Product 0018218325430533634732\begin{array} { c c c } \begin{array} { c } \text { Inputs of } \\\text { Labor }\\\hline\end{array} & & \begin{array} { c } \text { Total } \\\text { Product }\\\hline\end{array} \\0 & & 0 \\1 & & 8 \\2 & & 18 \\3 & & 25 \\4 & & 30 \\5 & & 33 \\6 & & 34 \\7 & & 32\end{array} Inputs of Labor 01234567 Total Product 08182530333432 Refer to the data.The average product (AP) when two units of labor are hired is:
A) 8.
B) 9.
C) 10.
D) 18.
Average Product
Average Product is the output produced, on average, by each unit of a variable factor of production, such as labor, calculated by dividing total product by the number of variable input units used in production.
Total Product
The total quantity of output produced by a firm for a given quantity of inputs over a specified period.
- Determine and appreciate the relevance of the average product across diverse labor input levels.
Verified Answer
OA
Ogundola AkintoyeJul 03, 2024
Final Answer :
B
Explanation :
The average product (AP) when two units of labor are hired is calculated by dividing the total product by the number of units of labor. For two units of labor, the total product is 18. Therefore, AP = 18 / 2 = 9.
Learning Objectives
- Determine and appreciate the relevance of the average product across diverse labor input levels.