\begin{tabular}{|c|c|c|c|c|}
\hline
Number of Workers & Output & Fixed Cost & Variable Cost & Total Cost \\
\hline
0 & 0 & [tex]$\$[/tex] 50[tex]$ & $[/tex]\[tex]$ 0$[/tex] & [tex]$\$[/tex] 50[tex]$ \\
\hline
1 & 90 & $[/tex]\[tex]$ 50$[/tex] & [tex]$\$[/tex] 20[tex]$ & $[/tex]\[tex]$ 70$[/tex] \\
\hline
2 & 170 & [tex]$\$[/tex] 50[tex]$ & $[/tex]\[tex]$ 40$[/tex] & [tex]$\$[/tex] 90[tex]$ \\
\hline
3 & 230 & $[/tex]\[tex]$ 50$[/tex] & [tex]$\$[/tex] 60[tex]$ & $[/tex]\[tex]$ 110$[/tex] \\
\hline
4 & 240 & [tex]$\$[/tex] 50[tex]$ & $[/tex]\[tex]$ 80$[/tex] & [tex]$\$[/tex] 130$ \\
\hline
\end{tabular}

The marginal product of the third worker is:

A. 230 units
B. 100 units
C. 77 units
D. 60 units



Answer :

To determine the marginal product of the third worker, follow these steps:

1. Identify the total output produced with different numbers of workers from the given table:
- With 0 workers: 0 units
- With 1 worker: 90 units
- With 2 workers: 170 units
- With 3 workers: 230 units
- With 4 workers: 240 units

2. The marginal product of a worker is defined as the additional amount of output produced when one more worker is added. In this case, we want to find the marginal product of the third worker, which means we need to find the increase in production when moving from 2 to 3 workers.

3. Subtract the total output with 2 workers from the total output with 3 workers:
[tex]\[ \text{Marginal Product of the third worker} = \text{Output with 3 workers} - \text{Output with 2 workers} \][/tex]
[tex]\[ \text{Marginal Product of the third worker} = 230 \text{ units} - 170 \text{ units} = 60 \text{ units} \][/tex]

Therefore, the marginal product of the third worker is 60 units.

Other Questions