1)The graph below represents the various combinations of ham and cheese (in pounds) that the nation of bonovia could produce in a given month.
graph is a L shape, y axis is cheese in pounds going up in increments of 40 to 320 , the x axis across is ham in pounds going in increments of 40-400 as well. a line that looks like \ (steeper) with the coordinates (0, 360) and (400,0).
if the production possibilities frontier shown is for 240 hours of production, then how long does it take Bonovia to make one pound of cheese? 5/3, 3/5, 4/3,33/4
2) assume that andia and zardia can switch between producing wheat and producing beef at a constant rate.
referring to table 3-1:
MINUTES NEEDED TO MAKE 1
bushel of wheat / Pound of beef
Andia: 20 12
Zardia: 15 10
assume that andia and zardia each has 360 minutes available. If each person divides his time equally between the production of wheat and beef, then total production is:
a. 42 wheat / 66 beef
b.21 wheat/ 33beef
c. 35 / 22
3) also using table 3-1: Which of the following combinations of wheat and beef could andia produce in one 8-hour day?
a. 9 wheat/ 25 beef
b.6 wheat/ 35 beef
4) assume that falda and varick can switch between producing wheat and producing cloth at a constant rate.
Quantity produced in t hr.
bushels of wheat / yards of cloths
falda: 8 12
varick 6 15
falda’s opportunity cost of one yard of cloth is?
a. 2/3 bushel of wheat and varicks opportunity unit cost of one yard of cloth is 5/2 bushels of wheat.
b. 3/2 b.o.w & varicks o.c of 1 yard of cloth is 5/2
c. 2/3 ….. 2/5
d. 3/2…… 2/5
5) IT takes ross 6 hours to produce a bundelof corn and 2 hrs to wash and polish a car.
it takes courtney 6 hours to produce a bushelof corn ans 1 hr. to wash a polish car. courtney and ross can not gain from specialization intrade. true or false