Complete the following table.
| Units of Labour | 1 | 2 | 3 | 4 | 5 | 6 |
| Average Product (units) | 8 | 10 | A | 9 | B | 7 |
| Marginal product (Units) | - | C | 10 | D | 4 | - |
| Total Product (units) | - | - | E | - | - | - |
What will come in place of B?
Answer & explanation
Correct answer: option 1
The correct answer is option : 8
Step 1: Calculate Total Product at 5 Units of Labour
TP at 4 units of labour:
TP4=AP4×Labour4 = 9*4 = 36
Given MP at 5th unit = 4, we use:
TP5=TP4+MP5 = 36+4 = 40
Step 2: Find B (AP at 5 units of labour)
AP5=TP5/L5 =40/5 = 8
| Units of Labour | 1 | 2 | 3 | 4 | 5 | 6 |
| Average Product (units) | 8 | 10 | 10 | 9 | 8 | 7 |
| Marginal product (Units) | 8 | 12 | 10 | 6 | 4 | 2 |
| Total Product (units) | 8 | 20 | 30 | 36 | 40 | 42 |