The Average Product of Labor Is Equal to the

question 492

Multiple Choice

The average product of labor is equal to the

• A) total product divided by the total number of workers hired.
• B) total number of workers hired divided by the total product.
• C) slope of the marginal product of labor curve.
• D) Both answers B and C are correct.

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Definitions:

Transaction Analysis

The process of studying a transaction to determine its economic effect on the business in terms of the accounting equation.

Accounting Equation

The foundational principle of double-entry bookkeeping, stating that assets equal liabilities plus shareholders' equity.

Components

Elements or parts that combine to form a larger product or system.

Net Profit Margin Ratio

A profitability metric that shows the percentage of revenue that remains as net income after all expenses have been deducted.