When labor changes from 3 to 4, the total product changes from 24 to 40, calculate the marginal product.
Answer & explanation
Correct answer: option 3
The correct answer is Option (3) → 16
MP = Change in Total Product / Change in Labor
Change in Total Product = 40 − 24 = 16
Change in Labor = 4 − 3 = 1
MP = 16 / 1 = 16