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Question
Find out the average product and marginal product from the following data:
| Units of factors | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 |
| Total product | 4 | 9 | 15 | 17 | 18 | 18 | 16 |
13 |
Numerical
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Solution
Average product (AP) = Total product (TP) ÷ Units of factor
Marginal product (MP) = Change in total product (ΔTP) ÷ Change in units of factor (ΔInput)
| Units of factor (L) | TP | AP = TP ÷ L | MP = ΔTP |
| 1 | 4 | 4.00 | - |
| 2 | 9 | 4.50 | 5 |
| 3 | 15 | 5.00 | 6 |
| 4 | 17 | 4.25 | 2 |
| 5 | 18 | 3.60 | 1 |
| 6 | 18 | 3.00 | 0 |
| 7 | 16 | 2.29 | −2 |
| 8 | 13 | 1.63 | −3 |
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