Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Question 1: PPF [Comp Adv Red inc . The above table shows the number of hours needed by Red Inc and Blue Inc to produce

image text in transcribed
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

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Entrepreneurship

Authors: Andrew Zacharakis, William D Bygrave

5th Edition

1119563097, 9781119563099

Students also viewed these Economics questions