Bob and Bill can make 16 toys each if they devote 8 working hours in a day. Further, Bob can repair 4 cars and Bill can repair 2 cars, if they devote 8 working hours in a day. What is the opportunity cost of repairing one car to Bob?
a. 10 toys
b. 8 toys
c. 16 toys
d. 12 toys
e. 4 toys
e
You might also like to view...
Refer to the figure above. If the price of a sweater is $3 and the budget constraint of the consumer is B3, his income is:
A) $45. B) $90. C) $135. D) $270.
The more substitutes available for a product, the
A) larger is its price elasticity of demand. B) smaller is its income elasticity of demand. C) smaller is its price elasticity of demand. D) larger is its income elasticity of demand.
Suppose that, at an official ticket price of $480, there are 6,000 Justin Timberlake fans wanting to attend his concert, but only 4,000 ticketed seats are available. Which one of the following statements is then TRUE?
A) There will be scalpers outside the arena selling tickets for $480. B) There will be a surplus of tickets. C) The market clearing price of the tickets is less than $480. D) The market clearing price of the tickets is more than $480.
Comparative advantage is a comparison among producers based on opportunity cost.
Answer the following statement true (T) or false (F)