Question

Techzoom is a firm engaged in computer repairs with limited working area and tools. The number of repairs by Techzoom in a week at different levels of labor use is provided below. Fill in the blanks for the marginal product and average product for Techzoom.

Number of employees	Number of repairs per week	Marginal product	Average product
1	0	--------------	-----------------
2	8
3	20
4	35
5	45
6	52
7	57

A. How many employees they should hire to have maximum number of repairs per employee?

B. Which employee brings in the maximum number of additional repairs?

C. Graph Techzoom’s total product, marginal product, and average product curves.

Answer 1

Number of employees	Number of repairs per week	Marginal product	Average product
1	0
2	8	8.00	4.00
3	20	12.00	6.67
4	35	15.00	8.75
5	45	10.00	9.00
6	52	7.00	8.67
7	57	5.00	8.14

A. In order to decide on the maximum number of repairs per employee, we need to consider maximum average product. So, the maximum average product is observed at 5 number of employees.

B. Here we need to consider maximum marginal product which is observed at 4 number of employees.

C.