When average product rises as a result of an increase in the quantity of variable input, marginal product is:

CA Foundation · Business Economics · PYQS · September 2025
When average product rises as a result of an increase in the quantity of variable input, marginal product is:
(A) A. less than the average product
(B) B. equal to the average product
(C) C. minimum
(D) D. more than the average product

Suggested Answer and Working Notes:

Correct Answer: Option (D)

D. more than the average product

Topics: Theory of Production and Cost

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