Multiple choice

If Total Product = 1,00,000 units when 20,000 hours of Labour are used, then Average Product= ___________________.

  1. 100000

  2. 20000

  3. 5

  4. 120000
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Average Product = Total Product / Total Labour Units. 1,00,000 / 20,000 = 5.

AI explanation

The formula for average product is total product divided by the units of variable factor used. Given a total product of 1,00,000 units and 20,000 hours of labour, the calculation is 100000 divided by 20000. This results in an average product of 5 units per hour.

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