Asked by Alexa Warson on Jun 09, 2024
Verified
Assume the total product of two workers is 130 and the total product of three workers is 150. The average product of three workers is ________, and the marginal product of the third worker is ________.
A) 40; 10
B) 50; 20
C) 13.33; 6.67
D) 120; 100
Total Product
The total output or production by a company during a specific period of time.
Average Product
Average Product is the output per unit of input, calculated by dividing total product by the quantity of the input.
Marginal Product
The additional output that is produced by adding one more unit of a specific input, while holding other inputs constant.
- Utilize average and marginal product concepts to scrutinize production volumes.
Verified Answer
JR
Jordan RamseyJun 14, 2024
Final Answer :
B
Explanation :
The average product of three workers is the total product divided by the number of workers, which is 150/3 = 50. The marginal product of the third worker is the increase in total product from adding the third worker, which is 150 - 130 = 20.
Learning Objectives
- Utilize average and marginal product concepts to scrutinize production volumes.