1.what is different production and production function.

Production is the organized activity of transforming a resources into finished product in the
form of good and service;the objective of production is to satisfy the demand of such transformed
resource, production has tree types which are primaryproduction, secondary production and. WHILE
production function is the relationship between the quantity of input and quantity of output.this means
that the number of workers hired related to output produced,if number of workers is low the output
produced is low too and when number of workers is hired is higher as well as output produced will be
higher too.examplewhen there are no workers in factory no output produced and when there are 2
workers 50 output produced.

The below diagram shows production function how quantity of input (workers) related to output
produced.
a) mention and explain two types of resources.

Resources is the service or other assets used to produce goods and services OR resources refer to all
the materials available in our environment which are technological accessible, economicall feasible and
culturall sustainable and help us to satisfy our needs or wants.

Types of resources

i. Natural resources ; this is type of resources which created in nature that are used by human
eg land, minerals,forest water etc.natural resources has categorized into two types which
are renewable and nonrenewable; renewable resources are those resources that continue
to exist despite being consumed or can replenish themselves over period of time.this
resources are endless supply because it can be replenish examples of renewable resources
are wind,solar energy,water, geothermal etc.non renewable resources; this are resources
which are not be renewable.they are occurred as a result of biological activities.therefore
they are formed slowly that from human point of view they are regarded as fixed or non
renewable example fuel, minerals, metal.
ii. Man made resources; these are resources that are produced by humans from already
available natural thing.these resources are renewable in most cases.examples
wood ,cement, metal, solar energy. man take them and applies techniques, skills and
knowledge to make buildings, roads, machines etc.due to technology that is developed most
 evey day utilising the marvels of science and other natural resources is also a manmade
resources.

b) what are the main factors of production give examples.

Production is the organized activity of transforming a resources into finished product in the
form of good and service.production has categorized into three types which are primary production,
secondary production and ten production.the objective of production is to satisfy the demand for such
transformed resource.factors of production are input needed to produce a consumer goods and
services, they are used in various way to create production and generate economic profit.its important
to note that factors of production aren't the same as raw material rather factors of production are used
in production but don't usually become part of the product and aren't transformed by the production
process

The following are the main of production

Land;land consist renewable and nonrenewable natural resources include water, minerals,
precious metals, vegetation, oil natural gas and other.these resources used year after year without
exhausted also these resources are limited in supply,a land rich in this considered the Best for
production.example companies as well as for beginning startup operation and louncing product with out
making any significant investment in land.

Capital; this is a manufactured item used to aid production.the capital can be fixed and working,
fixed capital is used continuously in the production processes as a manufacturing unit tools, machinery
etc may undergo repairs and replacements whenever required.on the other hand, working capital is
only arrenged or gathered in cash and accounts receivable once the product gets sold.

Labour; in labour factor include both physical labor and workforce putting mental effort as
essential resources in facilitating the production of good and service.labor force require to achieve
better output depend on the size and quality of these resources and the production volume.forexample
professional, retails employee and skilled labour contribute to accomplish production.

Enterpreneurship or enterprise;is starting and running a small independently or own/Manager

business.an enterprenuer allocates capital and segments labor based on their skills and
expertise.enterprenuership combine the rest of the factors,explores now business opportunities and
take responsibility for managing risks and uncertainties related to production.

Generally in production firms incur cost when they buy input to produce the goods and services
that they plan to sell hence production link with total cost used.
c) differentiate short run production and long run productio.

A short run production;refer to that period of time in which the installation of new plant and
machinery to increase the production is not possible.that is you can not build larger factory
overnight.Long run production is the one that the firm has got sufficient time to install new machinery
or equipment, instead of increase labour unit.long run production function all input of firm are
available.short run production and long run production differentiated as follows

Short run production function can be understood as the time period over which the firm is not
able to change the quantities of all input WHILE long run production function indicates the time period
over which the firm can change the quantities of all the input.

In short run production function the activity level does not change due to short period of time
WHILE long run production function the firm can expand or reduce the activity.

Short run production function, the law of variable proportion operates WHILE in the low run
production function,the law of returns to scale operates.

In short run productio function the factors ratio change because one input varies while the
remaining WHILE in long run production the factors ratio changes because one impute varies while the
remaining are fixed in nature.As opessed,the factors proportion remaining same in long run production
function,as all factors iinputs vary in the same proportion.

In short run,there are Barrie's to the entry of firms,as well as the firms can shutdown but cannot
exit WHILe in long run production the firms are free to enter and exist.

Generally for many firms,the division of total costs between fixed and variable costs depending
on time horizon.

d)define total product, marginal product and average product.

Marginal product;is the increase of output that are raised from additional unit of input.the marginal
product of any input in the production process increase in quantity of output obtained from one
additional unit of that output.marginal input of any input in production process the quantity of output
obtained from one additional unit of that input.example when when number of workers goes 1-2
production increase 50-90so the marginal product is the second workers is 40.

Total product; is the total value or amount of final output produced by firm using given
input in a given period of time for example hiring a 5th worker Waldo's texmex tacos world
total product increases from 95-110 tacos.the additional if 5th work results in the production of
an additional 15 texmex Gargantuan tacos.
Average product isis output per unit of factor inputs or the average of total product per unit of
input and can calculate by dividing the total product by the inputs (variable factors)

Average product=total product/unit of variable factor unit.

e) explain the concept of the law of diminishing returns.use diagram to indicates three stages of
diminishing.

Diminishing returns is the property whereby the marginal product of an input

declines as quantity of the input increases, notice that as the number of workers increases the
marginal product declines.foreaxmpl as the number of workers increases, additional workers
have to share equipment and in more crowded the detail condition.the law of diminishing state
that when the units are progressively added to the production processes for a fixed quantity of
capital input,the total output is observing to increasing at increasing rate initially

The following are the stages of diminishing

Stages of increasing returns.in this stages as variable factor (labour)IA added to fixed
factors the total product increases up to a point to an increasing rate till point F,as is showing in
the figure below.in the first stage the marginal product curve of variable factor raises in and
then falls,the average product curve rises throughout but remains the MP curve.

Stage of diminishing returns.in this stage increases but at a decreasing rate.once it

reaches at maximum point H,the second stage end. In this stage both the marginal product
curve and the average product curve are downward sloping, implying that both MP and AP go
on sloping however both are positive

Negative return, if you keep pushing,upping that one factor,to try to recover and
make your find even more diminishing retun and you will head into a negative return situations.