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Question 1: PPF [Comp Adv Red inc . The above table shows the number of hours needed by Red Inc and Blue Inc to produce
Question 1: PPF [Comp Adv Red inc . The above table shows the number of hours needed by Red Inc and Blue Inc to produce a unit of television and a laptop . What is Red Inc's opportunity cost of producing atelevision ? (2 Marks ) What is Blue Inc's opportunity cost of producing a laptop ? (2 Marks ) Who has the comparative advantage in producing televisions ? (2 Marks ) Ans to the Ques.No -1(a) From the table , Red Inc's Opportunity cost of producing a television = 181'6 = 3 (b) Blue Inc's Opp Opportunity cost of producing a laptop : 4i16 : 0.25 a From a, The Red Inc's Opportunity cost of producing a television = 6(18 = 0.33 The Blue Inc's Opportunity cost of producing a television = 4i'16 = 0.25
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