The following table shows a firm’s input, output, and costs in the short run. The price of each unit of output is Tk.200. (All costs and prices are in Tk.) Labor Quantity of Variable Total input Output cost cost 0 0 0 500 1 4 20 520 2 8 40 540 3 13 60 560 4 19 80 580 5 26 100 600 ------------------------------------------------------------------------------------ Does this firm follow the law of diminishing marginal product/returns, explain.
- The following table shows a firm’s input, output, and costs in the short run. The price of each unit of output is
Tk.200. (All costs and prices are in Tk.)
Labor Quantity of Variable Total
input Output cost cost
0 0 0 500
1 4 20 520
2 8 40 540
3 13 60 560
4 19 80 580
5 26 100 600
------------------------------------------------------------------------------------
Does this firm follow the law of diminishing marginal product/returns, explain.
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