Answer to Question #63616 in Microeconomics for liban

Question

2. Here is the relationship between the number of worker-hours (L) and the number of apples produced (Q):

L Q

0 0

1 10

2 20

3 29

4 37

5 44

6 50

7 55

8 59

9 62

10 64

Assume wage is $10 per hour, and Total Fixed Cost is $20.

For each value of L (from 0 to 10), make a table showing: Marginal Product of Labour; Total Cost; Average Total cost; Marginal Cost. (Like Question 5 page 293 Nimbus Brooms). Explain why there is a relationship between Marginal Product and Marginal Cost.