Question

At labor unit of​ 0, 1,​ 2, 3,​ 4, 5 and 6 total product will be​ 0, 12,​ 28, 36,​ 42, 44 and 44 respectively. Using this information list marginal product and average product for each labor unit.

Answer 1

Answer:

See explanation section

Explanation:

We know,

Marginal Product = ΔQ ÷ ΔL

ΔQ = ($Q_{1}$) - ($Q_{0}$) [It means current quantity minus previous quantity.]

ΔL = $L_{1} - L_{0}$ [It means current labor unit minus previous labor unit.]

Average product = Total product ÷ Labor

Labor     Total Product      Marginal Product      Average Product

(L)                 (Q)                             ($MP_{L}$)                    ($AP_{L}$)

0                    0                                0                            0

1                    12                      (12-0) ÷ (1-0) = 12        (12÷1) = 12

2                   28                     (28-12) ÷ (2-1) = 16      (28÷2) = 14

3                   36                     (36-28) ÷ (3-2) = 8      (36÷3) = 12

4                   42                     (42-36) ÷ (4-3) = 6      (42÷4) = 10.5

5                   44                     (44-42) ÷ (5-4) = 2      (44÷5) = 8.8

6                   44                     (44-44) ÷ (6-5) = 0      (44÷6) = 7.3