Target Exam

CUET

Subject

Economics

Chapter

Micro Economics: Production and Costs

Question:

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 D?

Options:

6

7

8

9

Correct Answer:

6

Explanation:

The correct answer is Option 1: 6

Step 1: Calculate Total Product at 3 units (E)

  • Given A = 10 (AP at 3 units of labour)
  • TP3=AP3×Labour3
  • TP3=10*3 = 30

Step 2: Calculate Total Product at 4 units

  • Given AP at 4 units = 9
  • TP4=AP4×Labour4
  • TP4= 9* 4 = 36

Step 3: Find D (MP at 4 units of labour)

               D=MP4 =TP4TP3

                D= 36-30 = 6

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