Leslie and Dan can produce chairs and tables according to the following labor production schedule: Table 1 Leslie and Dan Production Schedule Leslie Dan Chairs 1 chair every 30 minutes 1 chair every 10 minutes Tables 1 table every 20 minutes 1 table every 1 hour Fill out the following table to display the numbers of chairs and tables each could produce in an 8-hour workday if they exclusively made just the one item. Table 2 Leslie and Dan One Item Production Leslie Dan Chairs 16 48 Tables 24 8 1At what price ratio (Pc/Pt) will Dan be indifferent between producing chairs and tables? Pc/Pt = 1/6 If Pc/Pt = 1/6 (so chairs sell at 1/6 the price of tables), how many chairs and tables will Dan produce? Chairs: 0 S x S 48 Tables: If Pc/Pt = 1/6 (so chairs sell at 1/6 the price of tables), how many chairs and tables will Leslie produce? Chairs: Tables: Consequently, if Pc/Pt = 1/6 (so chairs sell at 1/6 the price of tables), how many chairs and tables will society produce? Chairs: 0 S x 3/2, how many chairs and tables will Dan produce? Chairs: Tables: If Pc/Pt > 3/2, how many chairs and tables will Leslie produce? Chairs: Tables: Consequently, if Pc/Pt > 3/2, how many chairs and tables will society produce? Chairs: Tables: 11* * *Now let's talk about prices*** How many chairs and tables would Dan produce if the price of chairs (Pc) was $1,000 and the price of tables (Pt) was $1? Chairs: 4% Tables: O How many chairs and tables would Leslie produce if the price of chairs was $1,000 and the price of tables was $1? Chairs: 16 Tables: O Consequently, how many chairs and tables would society produce if the price of chairs was $1,000 and the price of tables was $1? Chairs: 64 Tables: 0 How many chairs and tables would Dan produce if the price of tables was $750 and the price of chairs was $2? Chairs: O Tables:How many chairs and tables would Leslie produce if the price of tables was $750 and the price of chairs was $2? Chairs: o Tables: 2 4 Consequently, how many chairs and tables would society produce if the price of tables was $750 and the price of chairs was $2? Chairs: O Tables: 32 If Pc/Pt = 15 (so chairs sell at 15 times the price of tables), how many chairs and tables will Dan produce? Chairs: 4 & Tables: If Pc/Pt = 15 (so chairs sell at 15 times the price of tables), how many chairs and tables will Leslie produce? Chairs: 16 Tables: O Consequently, if Pc/Pt = 15 (so chairs sell at 15 times the price of tables), how many chairs and tables will society produce? Chairs: 64 Tables: O 8Fill in this table. The productions are listed as (chairs, tables). Table 3 Production Schedule at Different Price Levels Pc/Pt Leslie Dan Society 1/10 ( 0 , 24 ) 1 lo , 32) 1/8 ( ) 1 ) ( 0 , 32 ) 1/6 ( ) ( ) (0 S x 5 48, 32-x/6) 1/2 ( 0 , 24 ) ( 48 , 0 ) 2/3 ( ) ( ") ( 1 ) ) ( 3/2 (16 - 2y/3 , 0 Sys 24) ) ( 2 ) ( ) ( 5 ( 16 , 0 ) 1 12
